Question: A trader maintained Provision for Doubtful Debts @ 5%; a Provision for Discount @ 2% on Debtors; and Reserve for Discount @ 2% on Creditors,

A trader maintained Provision for Doubtful Debts @ 5%; a Provision for Discount @ 2% on Debtors; and Reserve for Discount @ 2% on Creditors, which on 1st January, 2015 stood at ~ 1,500, ~ 500 and ~ 400 respectively. His balances on 31.12.2015 and on 31.12.2016 were: (all figures in ~)

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