Vidyalelo
Commerce · Q197

Accounting

Graduate and Post Graduate · Commerce · question 197

Q197

Provision for cash discount on debtors is a percentage of

A.
Debtors
B.
Net debtors
C.
Net debtors less provision for doubtful debts
Answer
D.
Net sales

Answer: Option C

Solution

Answer: Option C
Solution:
Provision for cash discount on debtors is a percentage of Net debtors less provision for doubtful debts.