5) Ward, a consultant, keeps her accounting records on a cash basis. During 2007, Ward collected $200,000 in fees from clients. At December 31,2006 , Ward had accounts receivable of $40,000. At December 31,2007 , Ward had accounts receivable of $60,000, and unearned fees of $5,000. On an accrual basis, what was Ward's service revenue for 2007 ? a) $175,000 b) $180,000 c) $215,000 d) $225,000 6) At January 1,2007 , Jamin Co. had a credit balance of $260,000 in its allowance for uncollectible accounts. Based on past experience, 2% of Jamin's credit sales have been uncollectible. During 2007 , Jamin wrote off $325,000 of uncollectible accounts. Credit sales for 2007 were $9,000,000. In its December 31,2007 , statement of financial position (balance sheet), what amount should Jamin report as allowance for uncollectible accounts? a) $115,000 b) $180,000 c) $245,000 d) $440,000