If The existing provision for bad debts is to be increased by 50? than how we will show in revolution account

dear student,
since provision for bad debts is a liability it is credited when it has to be increased. Following entry is passed to increase provision for bad debts.
Revaluation A/C                                                        DR​​      50  
             To provision for bad debts        50
 (being provision for bad debts increased)    
 
It will come on debit side of revaluation account.

regards.

  • -1
Rs. 50 will be debited in the revaluation a/c as increase in a liability is a loss for the firm.
  • 3
Sorry the question is Increased by 50 ? not 50 rupees
  • 1
50 percent
  • -1
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