Question

please help me with this full problem

Answer 1

1	Bad Debts A/c Debit	6288
	To Allowance to bad debts A/c Credit	6288
2	Allowance to bad debts A/c Debit	2150
	To T. Donaldson A/c	700
	To J kyle A/c	450
	To D. Mize A/c	1000
3.a	Cash A./C Debit	450
	To Bad debts recovery A/c Credit	450
3.b	Bad debts recovery A/c Debit	450
	To profit and loss A/c credit	450
4	In case the bad bets are in excess of the provision the Allowance to bad debts A/c will have a debit balance however the same has to transferred to bad debts A/c. In fact it should not have a debit balance