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A company makes provision for bad debts at a rate of 5% of debtors. The debtors balances were given as below; 31/12/2009 shs.15,000,000 31/12/2010 shs.20,000,000

A company makes provision for bad debts at a rate of 5% of debtors. The debtor’s balances were given as below;

31/12/2009

shs.15,000,000

31/12/2010

shs.20,000,000

31/12/2011

shs.9,000,000

Show the necessary entries in the three years.

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