Question - 05

Show necessary ledger accounts and effects on final account from the following items of Trial balance kas on 31st Dec., 2001 :
Provision for Doubtful Debts (1-1-2001) (Cr.) Rs. 2,000
Bad debts (Dr.) Rs. 400
Sundry Debtors (Dr.) Rs. 30,000
Adjestment : write off further bad debts Rs. 1,000 and create a provision for Doubtful debts @ 10%.