During $2023$ Paris Pty Ltd had net credit sales of $$75,000.$ On $1$ July $2022,$ the Allowance for Doubtful Debts had a credit balance of $$1,800.$ During $2023,$ $$3,000$ of uncollectable accounts receivable were written off. Ageing of accounts receivable revealed that the allowance should be $8\%$ of the balance in receivables. If the accounts receivable balance at $30$ June $2023$ was $$20,000,$ what is the required adjustment to the Allowance for Doubtful Debts at $30$ June $2023?$

Question $5$Answer

a$.$

$$1600$

b$.$

$$7500$

c$.$

$$2800$

d$.$

$$3000$

e$.$

$$6000$