Accounts Receivable Has a $3,450 Balance,and the Allowance for Doubtful

question 95

Multiple Choice

Accounts Receivable has a $3,450 balance,and the Allowance for Doubtful Accounts has a $300 credit balance.An $120 account receivable is written-off.Net receivables (net realizable value) after the write-off equals:

• A)$3,030.
• B)$3,150.
• C)$3,270.
• D)$3,330.

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Definitions:

Advance Payment

Payment made before its due date, often required in contracts as a form of security or commitment.

Legal Fees

The charges or payments made to lawyers for their professional services, which can include hourly rates, flat fees, or contingent fees.

Retainer

An advance payment made by a client to a law firm to cover part of the legal fees and/or costs that will be incurred on that client’s behalf.

Keeping Clients Informed

The responsibility of lawyers to regularly update and communicate with their clients about the status and developments in their legal matters.