) DEF Company has the following data relating to accounts receivable for the year ended December 31, 2022: Accounts receivable, January 1, 2022 P 480,000 Allowance for doubtful accounts, 1/1/22 28,600 Cash sales 300,000 Sales on account, terms: 2/10, 1/15, n/30 2,560,000 Cash received from customers during the year 2,400,000 Accounts written off during the year 17,600 Cash refunds given to cash customers for sales returns and allowances 15,000 Credit memoranda issued to credit customers for sales returns and allowances 25,000 The P2,400,000 collection is composed of the following: Collection from customers availing the 10-day discount period: Gross selling price P 1,440,000 Discount taken (1,440,000 x 2%)   (28,000) P 1,411,200 Collection from customers availing the 15-day discount period: Gross selling price 800,000 Discount taken (800,000 x 1%)        ( 8,000)   792,000 Collection from customers paying beyond the discount perio

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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10) DEF Company has the following data relating to accounts receivable for the year ended December 31, 2022:

Accounts receivable, January 1, 2022 P 480,000

Allowance for doubtful accounts, 1/1/22 28,600

Cash sales 300,000

Sales on account, terms: 2/10, 1/15, n/30 2,560,000

Cash received from customers during the year 2,400,000

Accounts written off during the year 17,600

Cash refunds given to cash customers for sales returns and allowances 15,000

Credit memoranda issued to credit customers for sales returns and allowances 25,000

The P2,400,000 collection is composed of the following:

Collection from customers availing the 10-day discount period:

Gross selling price P 1,440,000

Discount taken (1,440,000 x 2%)   (28,000) P 1,411,200

Collection from customers availing the 15-day discount period:

Gross selling price 800,000

Discount taken (800,000 x 1%)        ( 8,000)   792,000

Collection from customers paying beyond the discount period: 192,000

Collection of accounts previously written and subsequent recovered     4,800

Total collection of accounts receivable for 2022   P 2,400,000

DEF Company year-end balance of allowance for doubtful accounts was estimated to be 5% of the outstanding accounts receivable as at December 31, 2022.

  1. How much was DEF Company's doubtful accounts expense for the year ended December 31, 2022?
  2. The allowance for doubtful accounts as of December 31, 2022 is?
  3. What was the balance of the accounts receivable as at December 31, 2022?
  4. What is the net realizable value of accounts receivable?
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