At the End of the Current Year,Accounts Receivable Has a Balance

question 52

Multiple Choice

At the end of the current year,Accounts Receivable has a balance of $550,000; Allowance for Doubtful Accounts has a credit balance of $5,500; and sales for the year total $2,500,000.An analysis of receivables estimates uncollectible receivables as $25,000. Determine the net realizable value of accounts receivable after adjustment.Hint: Determine the amount of the adjusting entry for bad debt expense and the adjusted balance of Allowance of Doubtful Accounts.

• A)$550,000
• B)$544,500
• C)$525,000
• D)$575,000

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Definitions:

Social Anxiety

A chronic mental health condition in which social interactions cause irrational anxiety and fear.

Social Anxiety

A disorder characterized by overwhelming anxiety and excessive self-consciousness in everyday social situations, often resulting from a fear of being closely watched, judged, and criticized by others.

Social Anxiety

A chronic mental health condition characterized by significant anxiety or fear of being judged, negatively evaluated, or rejected in a social or performance situation.

Physiological Symptoms

Physical signs or reactions that can occur in response to psychological or emotional stress, illness, or other factors.