Question

Arushi, Vivaan and Mitali were partners in a firm. On 31st March 2024, the firm was dissolved. On that date, the firm had debtors of \( ₹ 60,000 \) and provision for doubtful debts of \( ₹ 3,000 \) were existing in the books. Debtors of \( ₹ 8,000 \) proved bad and full amount was realised from the remaining debtors. The amount realised from debtors was:

• A. \( ₹ 60,000 \)
• B. \( ₹ 55,000 \)
• C. \( ₹ 52,000 \)
• D. \( ₹ 49,000 \)

Hint:

While calculating realisable amount, subtract only actual bad debts from total debtors. Provision is non-cash and already adjusted.

Answer 1

The Correct Option is C

Step 1: Given total debtors = \( ₹ 60,000 \)
Provision for doubtful debts = \( ₹ 3,000 \) (this is not actual loss, just an estimate)
Actual bad debts = \( ₹ 8,000 \) (this will be subtracted from total debtors) Step 2: Calculate realisable amount.
\[ \text{Realised amount} = 60,000 - 8,000 = ₹ 52,000 \] Note: The provision is already there in the books for accounting purposes but does not affect actual cash received. Final Answer:\ \( \boxed{₹ 52,000} \)