B. Summers has an accounting year ending on 30 April. At 30 April 20X8 his ledger contained

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B. Summers has an accounting year ending on 30 April. At 30 April 20X8 his ledger contained the following accounts:

The trade receivables at 30 April 20X9 were £19,500. This includes £620 due from A. Winters and £880 from D. Spring, both of which are thought to be irrecoverable.

You have been instructed to make an allowance for irrecoverable debts at 30 April 20X9 of 3 per cent of trade receivables.

Show the ledger entries in respect of the irrecoverable debts and allowance for irrecoverable debts.

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Introduction To Financial Accounting

ISBN: 9781526803009

9th Edition

Authors: Anne Marie Ward, Andrew Thomas

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Question Posted: Jul 07, 2022 12:59 AM

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B. Summers has an accounting year ending on 30 April. At 30 April 20X8 his ledger contained

Question:

Trade receivables Allowance for irrecoverable debts £ 25,000 750

Step by Step Answer:

Debit Irrecoverable Debts A Winters 620 C...View the full answer

Introduction To Financial Accounting

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