On january 1 2014 the accounts receivable and the allowance


On January 1, 2014, the Accounts Receivable and the Allowance for Uncollectible Accounts for Darius Company carried balances of $20,000 and $550 respectively. During the year, the company reported $70,000 of credit sales. There was $400 of receivables written off as uncollectible in 2014. Cash collections of receivables amounted to $74,700. The company estimates that it will be unable to collect 5% of the year-end accounts receivable balance.

The net realizable value of receivables appearing on the 2014 balance sheet will amount to:

a. $14,105

b. $14,155

c .$14,900

d .$15,450

Request for Solution File

Ask an Expert for Answer!!
Financial Accounting: On january 1 2014 the accounts receivable and the allowance
Reference No:- TGS01105753

Expected delivery within 24 Hours