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Sundry debtors in the balance sheet of Onoja Bakery and Sons totaled N800. A provision...

Accounts - Principles of Accounts
JAMB 2010

Sundry debtors in the balance sheet of Onoja Bakery and Sons totaled N800.
A provision of 2% was made for discount and 5% provision for bad and doubtful debts.

Find the amount for sundry debtors after provision?

 

  • A. N760 000
  • B. N744800
  • C. N744 000
  • D. N784 000
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Correct Answer: Option A
Explanation

5% x 800 
5/100 x 800 = 40

800 - 40 = 760

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