Bad debts
This query is : Resolved
07 December 2017
When the bad debts are recovered, the seller enters the journal entry as Cash a/c dr
To Bad debts Recr
My question is what will the buyer enter in his books of accounts for the above situation. Please tell with explanation.
To Bad debts Recr
My question is what will the buyer enter in his books of accounts for the above situation. Please tell with explanation.
09 December 2017
Buyer will record
Creditor Dr
To Cash/Bank
09 December 2017
What will the buyer record if the creditor is closed in the previous year and he pays the amount in the next year
09 December 2017
It will be transferred to expenses because when you had removed the creditors from your books at that time you had booked it as income
09 December 2017
Thanks. Nice explanation
09 December 2017
Most Welcome Shaik Ji
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