Question
A company had the following balances: Beginning April balance in allowance for bad debt: $6,000 (credit) Beginning April balance in accounts receivable: $200,000 During the
A company had the following balances: Beginning April balance in allowance for bad debt: $6,000 (credit) Beginning April balance in accounts receivable: $200,000 During the month of April the company recorded the following: Bad debt expense is calculated as using the percent of credit sales method. The percent is 2%. The company recorded the entry for bad debt. Collection of cash related to accounts receivables of $120,000 Additional sales on account of $90,000 What is the company's net realizable value of its accounts receivable at the end of April?
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