A company’s financial year finishes on 31 March. At 31 March 2021, trade receivables amounted to $45\ 000$. At 31 March 2022, trade receivables amounted to $41\ 000$. An irrecoverable debt of $1000$ had still not been written off at 31 March 2022. The provision for doubtful debts is to remain at $5\%$. What effect will the irrecoverable debt and the change to the provision for doubtful debts have on the profit for the year ended 31 March 2022?
- Adecrease $750
- Bdecrease $800
- Cdecrease $1200
- Ddecrease $1250