Accounting 0452 · IGCSE · Irrecoverable debts and provision for doubtful debts

Irrecoverable debts and provision for doubtful debts — practice question

Once Emma had prepared her income statement, she identified these errors. A debt of $1500 ought to have been written off as irrecoverable. No adjustment had been recorded for Emma's prepaid rent of $2800. The draft profit for the year amounted to $35000. What was the corrected profit for the year?

  • A$30700
  • B$33700
  • C$36300
  • D$39300

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