Bender Ltd Uses the Allowance Method of Accounting for Bad

question 8

Multiple Choice

Bender Ltd uses the allowance method of accounting for bad and doubtful debts.Their accounts show: $\begin{array}{lr}\text { Allow ance for doubtful debts 1 July } 2013 & \$ 10200 \\\text { Allow ance for doubtful debts 30 June 2014 } & 14200 \\\text { Bad \& doubtful debts expense for the year } & 8000\end{array}$ Calculate the amount of bad debts actually written off during the year.

• A)$4 000
• B)$11 000
• C)$8 000
• D)$6 200

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