JAMB Accounting 2010 Objective — Question 16

Question 16 of 50 from the Joint Admissions and Matriculation Board (JAMB) Accounting 2010 Objective paper, with the correct answer and a full explanation.

Use the information below to answer questions 16 and 17 Sundry debtor #20,000; Provision for bad debts #500; Provision for bad debt at 4% of sundry debtors. 16. Determine the provision for bad debts to profit and loss account. A. 500 B. 820 C. 1,300 D. 300

A. 500
B. 820
C. 1,300
D. 300Correct

Explanation

Provision for bad debts = 4% x N20,000 = N800. Increase in provision = N800 - N500 = N300 to profit and loss account.

Sign up free to unlock

Score tracking
Practice history
Saved questions
Progress dashboard
Personalized sessions
Weak-topic breakdown

…and/or go further with premium services and No Ads.

Create free account

More questions from Accounting 2010 Objective More Accounting past papers