Use This Information to Answer the Following Question

question 95

Multiple Choice

Use this information to answer the following question. The general ledger account for Accounts Receivable shows a debit balance of $50,000.Allowance for Uncollectible Accounts has a credit balance of $1,000.Net sales for the year were $500,000.In the past,2 percent of sales have proved uncollectible,and an aging of accounts receivable accounts results in an estimate of $11,700 of uncollectible accounts.
Using the accounts receivable aging method,the Allowance for Uncollectible Accounts balance would be credited for

• A)$10,700.
• B)$11,700.
• C)$12,200.
• D)$12,700.

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