Question : In the Balance sheet, Debtors exist at Rs.50,000 and Provision for Doubtful Debts at Rs.1,500. How much amount will be realised from Debtors, if bad debts are Rs.10,000 and remaining debtors are realised at a discount of 5%.
Option 1: Rs.36,575
Option 2: Rs.36,500
Option 3: Rs.39,500
Option 4: Rs.38,000
Correct Answer: Rs.38,000
Solution : Explanation:
In Balance Sheet, Total Debtors is Seen in Assets Side as it is a Asset for us and Money will be receiving by us. So if we are Calculating the Realised value of debtors. There is a formula. The Formula for Calculating the value is Total Debtors- Bad Debts- Discount (If given) So Realised Debtors= Total Debtors- Bad Debts- Discount given to Debtors Realised Debtors= 50000- 10000= 40000 How to Calculate Discount Remaining Debtors * Given Percent = 40000 * 5/100 = 2000 Realised Debtors= Remaining Debtors- Discount = 40000-2000 = 38000 So Final Answer is 38000
No Treatment Done for Provision for Doubtdul debts as these are not yet bad.
Hence the correct answer is option 4.
Question : In the Balance Sheet, Debtors exist at Rs. 1,00,000 and Provision for Doubtful Debts at Rs. 3000. How much amount will be realised from Debtors, if bad debts are Rs. 20,000 and remaining debtors are realised at a discount of 10%.
Option 1: Rs 76,000
Option 2: Rs 72,000
Option 3: Rs 36,575
Option 4: Rs 79,000
Question : In the Balance Sheet, Total Debtors appear at Rs.5, 00,000 and Provision for Doubtful Debts appears at Rs. 1,50,00. How much amount will be realised from Debtors if bad debts amount to Rs. 1,00,000 and remaining debtors are realised at a discount of 5%?
Option 1: Rs 3,80,000
Option 2: Rs 3,65,000
Option 3: Rs 3,65,750
Option 4: Rs 3,95,000
Question : On dissolution of a firm, debtors Rs. 34,000 were shown in the Balance Sheet. Out of this, Rs. 4000 became bad. One debtor became insolvent. 70% was recovered from him out of Rs.10,000 Full amount was recovered from the balance debtors. On account of this item, the loss in the realisation account will be :
Option 1: Rs 51,000
Option 2: Rs 15,000
Option 3: Rs 35,000
Option 4: Rs 7,000
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