Question

11. A business entity increases its provision for doubtful debts by K 1 600. What will be the effect of this adjustment on net profit and current assets?
Net profit Current assets
A Decrease by K 1 600 Decrease by K 1 600
B Decrease by K 1 600 Increase by K 1 600
C Increase by K 1 600 Decrease by K 1 600
D Increase by K 1 600 Increase by K 1 600

1 year ago