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In case of Bad Debt such amount should be credited to
1.Cash account
2.Debtors account
3.Sales account

Answer Posted / ca. parveen goyal

in case the bad dedts arise on account of amount
unrecovered for the sale made earlier then the same should
be credited to the respective debtors account. however the
same should be done only after reasonable follow up for its
recovery and after reasonable period of time (say 2 or 3
years)

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