The following information was taken from the accounting records of Midway retailers at 30 September 2023:...
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The following information was taken from the accounting records of Midway retailers at 30 September 2023: R 36 000 1 500 Trade receivables at 30 September 2023 Allowance for credit losses (Provision for bad debts) Credit losses (bad debts) written off during the year 1 300 Additional information: 1. An amount of R1 200 must be written off as irrecoverable. 2. The allowance for credit losses must be maintained at 5% of outstanding debtors. Required: Calculate the amount to be shown as credit losses (bad debts) in the statement of comprehensive income for the year ended 30 September 2023. The following information was taken from the accounting records of Midway retailers at 30 September 2023: R 36 000 1 500 Trade receivables at 30 September 2023 Allowance for credit losses (Provision for bad debts) Credit losses (bad debts) written off during the year 1 300 Additional information: 1. An amount of R1 200 must be written off as irrecoverable. 2. The allowance for credit losses must be maintained at 5% of outstanding debtors. Required: Calculate the amount to be shown as credit losses (bad debts) in the statement of comprehensive income for the year ended 30 September 2023.
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Related Book For
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
Posted Date:
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