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At 30 June 2016 Shifty Ltd Had a Balance of Accounts

Question 21

Multiple Choice

At 30 June 2016 Shifty Ltd had a balance of Accounts receivable of $90 000 and an Allowance for doubtful debts of $4000.It was decided to write off the debt of Wriggler,totalling $2500,as irrecoverable.It was further decided that the Allowance for doubtful debts should stand at 5 per cent of Accounts receivable.What was the journal entry needed to write off the debt of Wriggler as irrecoverable?


A)
At 30 June 2016 Shifty Ltd had a balance of Accounts receivable of $90 000 and an Allowance for doubtful debts of $4000.It was decided to write off the debt of Wriggler,totalling $2500,as irrecoverable.It was further decided that the Allowance for doubtful debts should stand at 5 per cent of Accounts receivable.What was the journal entry needed to write off the debt of Wriggler as irrecoverable? A)     B)     C)    D)  None of the answers provided
B)
At 30 June 2016 Shifty Ltd had a balance of Accounts receivable of $90 000 and an Allowance for doubtful debts of $4000.It was decided to write off the debt of Wriggler,totalling $2500,as irrecoverable.It was further decided that the Allowance for doubtful debts should stand at 5 per cent of Accounts receivable.What was the journal entry needed to write off the debt of Wriggler as irrecoverable? A)     B)     C)    D)  None of the answers provided
C)
At 30 June 2016 Shifty Ltd had a balance of Accounts receivable of $90 000 and an Allowance for doubtful debts of $4000.It was decided to write off the debt of Wriggler,totalling $2500,as irrecoverable.It was further decided that the Allowance for doubtful debts should stand at 5 per cent of Accounts receivable.What was the journal entry needed to write off the debt of Wriggler as irrecoverable? A)     B)     C)    D)  None of the answers provided
D) None of the answers provided

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