\(\begin{array}{c|c} \text{1/1/06 Debtors} & ...
Use the following information to answer the given question
1/1/06 DebtorsD2,6001/1/06 Provision for bad debtsD6031/12/06 New provision provision for bad debts5% on debtors
The provision for bad debts in the profit and loss account is
D187
D127
D67
D70
Correct answer is D
5% x 2600
5100 x 2600 = 130
130 - 60 = 70
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