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Cpt ... i am getting confused in this question....someone please explain it
S draws 2 bills of exchange on 1.1.07 for Rs.30000. The bills of exchange for Rs.30000 is for 2 months and the bill of exchange for Rs.50000 is for 3 months. These bills are accepted by K . On 4.3.07 K request S to renew the first bill with interest at 18% p.a for 2 months. S agrees to this proposal. On 20.3.07 K retires the acceptance for Rs. 50000 the interest rebate I.e. discount charges being Rs.500.
Before the due date of the renewed bill K becomes insolvent and only 60 Paisa in a rupee can be recovered from his estate . How much bad debt will be recorded in the books of X:
A. Rs.75000
B. Rs.147000
C. Rs.152000
D. nil
Replies (10)
If the question is typed correctly, the answer is
NIL
because X is not a party to this bill, and therefore there is no bad debts for him.
The question has been typed incorrectly. It is "in the books of X"
The question has been typed incorrectly. It is "in the books of S"......
And the correct options are:
A. Rs.12360
B. Rs.18540
C. Rs.30900
D. Rs.30000
And the correct options are:
A. Rs.12360
B. Rs.18540
C. Rs.30900
D. Rs.30000
And the correct options are:
A. Rs.12360
B. Rs.18540
C. Rs.30900
D. Rs.30000
if its so,
30000 +
(30000 * 18% * 60 days/360days)
=30900 will be the total payable amount
out of which K could pay 60 paise for a rupee, so that he can pay
30900 *.6 = 18540
and bad debt will be 30900 - 18540 = 12360
Thank you very much!!!
Thank you very much!!!
please dnt overflood messages
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