Multiple choice

A bad debt of Rs. 1,000 was written off. The correct entry for recovery is

  1. Bad Debts A/c Dr 1,000
    To Debtors A/c 1,000
  2. Cash A/c Dr 1,000
    To Debtors A/c 1,000
  3. Cash A/c Dr 1,000
    To Bad Debts Recovered A/c 1,000
  4. None of these

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Cash has been debited, since it has come in. Bad Debts recovered a/c is credited.