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Question Practice

What accounting treatment should a business follow when actual bad debts are recovered in the next accounting period?

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MCQ_SA
CBSE
Class 11
Accountancy
Accountancy - II
Financial Statements - II
Question Bank

What accounting treatment shou...

Single Answer MCQ
Q-00053662

What accounting treatment should a business follow when actual bad debts are recovered in the next accounting period?

1

Reversals should be ignored.

2

The recovery should increase profit of the period

3

It should not be recorded.

4

Only the original provision amount should be adjusted.

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