7. On December 31, 2019 a company's Accounts Receivable balance was $440,000. During the year the company recorded credit sales of $770,000. The company uses the allowance method to account for its receivables. Assume the ending balance before adjusting entries are made in the Allowance for Bad Debts is $15,000 cr. If the company estimates its bad debt as 2% of credit sales determine Net Realizable Value of Accounts Receivable to be presented on the December 31, 2019 Balance Sheet. A $425,000 B. $ 424,600 C. $440,000 D. $ 409,000