unicornrainbow
New member
- Feb 23, 2009
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$960,000 During 2007 sales o? Accounts receivable $1,050,000
Allowance (90,000)
Cash realizable value $960,000
During 2007 sales on account were $290,000 and collections on account were $172,000. Also during 2007 the company wrote off $16,000 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that bad debts should be estimated at $108,000.
Bad debts expense for 2007 is
a. $34,000
b. $18,000
c. $108,000
d. $2,000
Allowance (90,000)
Cash realizable value $960,000
During 2007 sales on account were $290,000 and collections on account were $172,000. Also during 2007 the company wrote off $16,000 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that bad debts should be estimated at $108,000.
Bad debts expense for 2007 is
a. $34,000
b. $18,000
c. $108,000
d. $2,000