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  • POA Jan 2016

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    Jerome Harry
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    The document shows the provision for bad and doubtful debts account of Gargar Mell Company for the years 2013-2014. In 2013, the provision was 5% of accounts receivable of $270,000, which was $13,500. In 2014, the provision was 5% of accounts receivable of $255,000, which was $12,750. The balance sheet extract as of December 31, 2014 shows accounts receivable of $255,000 with a provision for bad debts of $12,750.

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    The document shows the provision for bad and doubtful debts account of Gargar Mell Company for the years 2013-2014. In 2013, the provision was 5% of accounts receivable of $270,000, which was $13,500. In 2014, the provision was 5% of accounts receivable of $255,000, which was $12,750. The balance sheet extract as of December 31, 2014 shows accounts receivable of $255,000 with a provision for bad debts of $12,750.

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    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
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    20 views3 pages

    POA Jan 2016

    Uploaded by

    Jerome Harry
    The document shows the provision for bad and doubtful debts account of Gargar Mell Company for the years 2013-2014. In 2013, the provision was 5% of accounts receivable of $270,000, which was $13,500. In 2014, the provision was 5% of accounts receivable of $255,000, which was $12,750. The balance sheet extract as of December 31, 2014 shows accounts receivable of $255,000 with a provision for bad debts of $12,750.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
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    of 3

    4a) (i) GARGAR MELL COMPANY

    Provision for Bad and Doubtful Debts a/c Yr. 2013= 5% x 270,000 = $13
    2013 $ 2013 $ Yr.2014= 5% x 255,000 = $12,
    Dec 31st Bal c/d 13,500 Jan 1st Bal b/d 12,000
    Dec 31st Profit & Loss 1,500
    13,500 13,500

    2014
    750 Jan 1st Bal b/d 13,500
    12,750
    13,500 13,500

    2015
    Jan 1st Bal b/d 12,750
    (ii) GARGAR MELL COMPANY
    Yr. 2013= 5% x 270,000 = $13,500 Balance Sheet (extract) as at 31 Dec. 2014
    Yr.2014= 5% x 255,000 = $12,750 Current Assets
    Accounts Receivable (debtors)
    Less Provision for Bad and Doubtful Debts
    NY
    1 Dec. 2014
    $
    255,000
    -12,750
    242,250

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