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Provision for bad debts is calculated on:
creditors.
Sales.
Purchases
Debtors.
The provision for doubtful debts is the estimated amount of bad debt that will arise from accounts receivable that have been issued but not yet collected. It is identical to the allowance for doubtful accounts In other words, the amount of the provision for discount is calculated after deducting bad debts and provision for doubtful debts from sundry debtors
By: honey kaundal ProfileResourcesReport error
Richa Goyal one year ago
It should be debtors answer don't .arch with ur explanation
Manbir Singh one year ago
again same wrong answer given in this test
Wrong Answer given
Kalyani Sisodiya one year ago
Here the answer is creditor or debtor.
Anmol Midha one year ago
PBD is always made on debtors not creditors
Rinki Goswami one year ago
shouldn't the answer be debtors?
An Agrl one year ago
Debtors
Runal Naik one year ago
answer should be debtors
Kirti Nandan Agrawal 2 years ago
as per explanation, option (d) 'debtors' is correct
SUSHIL KUMAR 2 years ago
Please check answer but explained correctly
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