A company that uses the allowance method, writes - off a receivable of $3,000 Prior to the journal entry, the credit balance in the Allowance for Uncollectible Accounts was $21,432 and Accounts Receivable were $2.007.000 After the entry to write- off the receivable is made, the net realizable value of Accounts Receivable will be O A. $1,985,568. OB. $1,982,568. OC. $2,007,000 O D. $2,004,000

A company that uses the allowance method, writes - off a receivable of $3,000 Prior to the journal entry, the credit balance in the Allowance for Uncollectible Accounts was $21,432 and Accounts Receivable were $2.007.000 After the entry to write- off the receivable is made, the net realizable value of Accounts Receivable will be O A. $1,985,568. OB. $1,982,568. OC. $2,007,000 O D. $2,004,000

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter16: Accounting For Accounts Receivable

Section: Chapter Questions

Problem 1CE

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Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120 in its accounts receivable. Additionally, Karras had a credit balance in its allowance for doubtful accounts of 4,350 and 9,420 at the beginning and end of the year, respectively. During the year, Karras made credit sales of 1,530,000, collected receivables in the amount of 1,445,700, and recorded bad debt expense of 83, 750. Required: Next Level Compute the amount of accounts receivable that Karras wrote off during the year and the amount of accounts receivable at the beginning of the year.
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