At the close of year 1, a trader set up a provision for doubtful debts equal to $5\%$ of trade receivables. By the close of year 2, she chose to raise the provision to $6\%$. The trader gave the following figures: trade receivables at the end of year 1: $4800$ trade receivables at the end of year 2: $7500$ What amount for the provision for doubtful debts ought to be shown in the income statement for year 2?
- A$210 credit
- B$210 debit
- C$450 credit
- D$450 debit