The company uses the allowance method to account for uncollectible receivables. Allowance for doubtful account had 1.500 TL credit balance and account receivable account had 12.000 TL debit balance at the beginning of year. During the year bad debt expense was recorded for 2.000 TL and wrote off bad receivables for 2.500. a. what is the balance of allowance for doubtful account at the year - end? b. what is the net realizable value of account receivable at the vear - end?
The company uses the allowance method to account for uncollectible receivables. Allowance for doubtful account had 1.500 TL credit balance and account receivable account had 12.000 TL debit balance at the beginning of year. During the year bad debt expense was recorded for 2.000 TL and wrote off bad receivables for 2.500. a. what is the balance of allowance for doubtful account at the year - end? b. what is the net realizable value of account receivable at the vear - end?
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
Related questions
Question
![The company uses the allowance method to account for uncollectible
receivables.
Allowance for doubtful account had 1.500 TL credit balance and
account receivable account had 12.000 TL debit balance at the
beginning of year. During the year bad debt expense was recorded for
2.000 TL and wrote off bad receivables for 2.500.
a. what is the balance of allowance for doubtful account at the year -
end?
b. what is the net realizable value of account receivable at the vear -
end?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fbcec91d0-0256-4285-a63b-ff980e9a5a3f%2F89f947e2-e994-426e-ba50-39e7f23f200a%2Fbxiovuo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The company uses the allowance method to account for uncollectible
receivables.
Allowance for doubtful account had 1.500 TL credit balance and
account receivable account had 12.000 TL debit balance at the
beginning of year. During the year bad debt expense was recorded for
2.000 TL and wrote off bad receivables for 2.500.
a. what is the balance of allowance for doubtful account at the year -
end?
b. what is the net realizable value of account receivable at the vear -
end?
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