Provision account

This query is : Resolved

manohar (Querist)
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02 February 2013 Dear sir
I made one entry for creating pro.for doubtful a/c

1,bad debt a/c dr 10,000/-
to
prov.for doubtful a/c 10,000/-

2,prov.for doubtful a/c 10,000/-
to
account receivable

after some time i received the above cash
i made entry like this

3,cash a/c 10,000/-
to
receivable 10,000/-

4,account receivable 10,000/-
to
prov. for doubtful 10,000/-

5,prov.for doubtful a/c 10,000/-
to
bad debt a/c 10,000/-

sir this entry which i have passed is correct or not please help me

@VaibhavJ

@VaibhavJ (Expert)
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03 February 2013 Hey..

Your entry no. 2 is not needed, since by doing so you are writing off Receivables...

So entry no. 2 & 4 is not required..

Rest all is fine..

Thanks!!

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