Use the following information to answer the given question

\(\begin{array}{c|c} & N \\ \hline \text{Debtors (1/1/98)} & 2,000 \\ \text{Debtors (31/12/98)} & 1,250 \\ \text{Cash received from debtors} & 6,000 \\ \text{Bad debt written off} & 750 \\ \text{Discount allowed} & 500 \\ \text{Discount received} & 125\end{array}\)

The debtors balance to be shown in the Balance Sheet at 31st December, 1998 is

  • A N6,000
  • B N3,250
  • C N2,000
  • D N1,250

The correct answer is D. N1,250

No explanation given
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