Accounting 9706 · AS & A Level · Preparation of financial statements

Preparation of financial statements — practice question

A business has given the information below. A provision for doubtful debts was worked out at $1750. This amount represents 5% of trade receivables after an irrecoverable debt of $4200 was written off. What was the original amount of trade receivables before these adjustments were made?

  • A$29050
  • B$30800
  • C$37450
  • D$39200

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