(4a) Increase in provision for doubtful debts; This represents an increase in the estimated amount of money that a business expects it will not be able to collect from its debtors (customers who owe money). -Treatment in final- accounts: (i)Profit and Loss Account: The increase is treated as an expense and debited to the profit and loss account, reducing net profit. (ii)Balance Sheet: The increase is added to any previous provision for doubtful debts and deducted from the total debtors balance to show the net realizable value of the debts. (4b) Decrease in provision for doubtful debts; This indicates a reduction in the estimated amount of uncollectible debts, meaning the business now expects to recover more from its debtors than previously anticipated. -Treatment in final- accounts: (i)Profit and Loss Account: The decrease is treated as a gain or a reduction in expense and is credited to the profit and loss account, increasing net profit. (ii)Balance Sheet: The decrease is deducted from the existing provision for doubtful debts, leading to a smaller reduction from the total debtors balance. (4c) Provision for discount on debtors; This is an allowance made for potential discounts that might be given to debtors for early or prompt payment. It acknowledges that not all debtors may pay the full amount. -Treatment in final accounts- (i)Profit and Loss Account: This provision is treated as an expense and is debited to the profit and loss account. (ii)Balance Sheet: The amount provided is deducted from the debtors balance. (4d) Provision for discount on creditors; This is an allowance made for potential discounts that might be received from creditors for early or prompt payment. It acknowledges that the business might not have to pay the full amount owed. -Treatment in final accounts- (i)Profit and Loss Account: This provision is treated as a gain and is credited to the profit and loss account. (ii)Balance Sheet: The amount is deducted from the creditors balance. (4e) Provision for depreciation; Depreciation is the systematic allocation of the cost of a tangible asset over its useful life. It reflects the reduction in the asset's value due to wear and tear, usage, or obsolescence. -Treatment in final accounts- (i)Profit and Loss Account: Depreciation is treated as an expense and is debited to the profit and loss account. (ii)Balance Sheet: The accumulated depreciation is shown as a deduction from the cost of the asset, reflecting its net book value.