ABC Company's accounts receivable are $200,000 at the end of the year. The allowance for doubtful accounts has a credit balance of $4,000 before any adjustments have been made. The company estimates that 5% of accounts receivable will not be collected. What is the carrying amount of the accounts receivable at the end of the year?

a.$196,000

b.$200,000

c.$190,000

d.$186,000

A company pays $1,500 of the amounts owing to suppliers at the beginning of the month.The basic analysis of this transaction on the accounting records is:

:

a.The asset Cash decreases and the liability account Accounts Payable decreases.

b.The asset Cash decreases and the asset account Accounts Receivable increases.

c.The asset Cash increases an the expense account Supplies Expense increases.

d.The expense account Supplies Expense increases and the liability account Accounts Payable decreases.