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XYZ Company Estimates Their Allowance for Doubtful Accounts (ADA)by Aging

question 73

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XYZ Company estimates their allowance for doubtful accounts (ADA)by aging their accounts receivable. At the end of 2012, the balance in the ADA was $165,000. During 2013, XYZ wrote off $16,000 and collected a $14,500 receivable that had been previously written off as uncollectible. At the end of 2013, the aging schedule indicated that the balance in the ADA should be $187,000. How much is the bad debts expense for 2013?


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