19.3 A business started trading on 1 January 2022. During the two years ended 31 December 2022 and 2023, the following debts were written off to the bad debts expense account on the dates stated: 31 May 2022 31 October 2022 31 January 2023 30 June 2023 31 October 2023 J. Gray P. King T. Ryan D. Simms B. Hall £350 £560 £680 £290 £470 On 31 December 2022, the total trade receivables were £97,100. It was decided to make an allowance for doubtful debts of £3,230. On 31 December 2023, the total trade receivables were £106,200. It was decided to make an allowance for doubtful debts of £4,010. You are required to show: i. The allowance for doubtful debts account and the bad debts expense account for each of the two years. ii. The relevant extracts from the balance sheets as at 31 December 2022 and 2023.

19.3 A business started trading on 1 January 2022. During the two years ended 31 December 2022 and 2023, the following debts were written off to the bad debts expense account on the dates stated: 31 May 2022 31 October 2022 31 January 2023 30 June 2023 31 October 2023 J. Gray P. King T. Ryan D. Simms B. Hall £350 £560 £680 £290 £470 On 31 December 2022, the total trade receivables were £97,100. It was decided to make an allowance for doubtful debts of £3,230. On 31 December 2023, the total trade receivables were £106,200. It was decided to make an allowance for doubtful debts of £4,010. You are required to show: i. The allowance for doubtful debts account and the bad debts expense account for each of the two years. ii. The relevant extracts from the balance sheets as at 31 December 2022 and 2023.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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