A, B & C are partners sharing profits in proportion to their capital. B retired from the firm on 1st April 2021 and the remaining partners decided to carry on the partnership. At the time of retirement, their capital accounts show balance- A- ₹450000, B- ₹300000, and C ₹150000. There is also a debit balance of P & L A/c of ₹12000. The firm has debtors of ₹100000 on which ₹2000 is made for provision for doubtful debts. The assets and liabilities of the partnership firm are as follows-
Creditors- ₹108000
General reserve- ₹12000
Cash balance- ₹80000
Stock- ₹90000
Machinery- ₹240000
Land- ₹500000

Provision for doubtful debts to be brought up to 5% of debtors. How much provision is increased?

₹3000

Debtors= ₹100000
5% Provision= 100000*5/100= ₹5000
Already provision in the books= 2000
More provision= 5000-2000= ₹3000