Accounts Receivable Has a Balance of $34,000,and the Allowance for Bad

question 125

Multiple Choice

Accounts Receivable has a balance of $34,000,and the Allowance for Bad Debts has a credit balance of $3,400.The allowance method is used.What is the net realizable value of Accounts Receivable before and after a $2,300 account receivable is written off?

• A)$30,600;$30,600
• B)$28,300;$28,300
• C)$30,600;$28,300
• D)$28,300;$32,900

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Definitions:

Blocking Imports

Policy measures taken to restrict the importation of goods from foreign countries.

Tariff

A tax imposed by a government on goods and services imported from other countries, aiming to protect domestic industries from foreign competition.

Quota

A government-imposed trade restriction limiting the number or monetary value of goods that can be imported or exported.

Nations Trade

The exchange of goods, services, and capital between countries, driven by comparative advantages and specialization.