Analysis ofReceivablesMethod

At the end of the current year,Accounts Receivablehas a balance of $870,000;Allowance for Doubtful Accountshas a credit balance of $8,000; and sales for the year total $3,920,000. Using the aging method, the balance of Allowance for Doubtful Accounts is estimated as $29,600.

a.Determine the amount of the adjusting entry for uncollectible accounts.

$

b.Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, andBad Debt Expense.

Accounts Receivable $

Allowance for Doubtful Accounts $

Bad Debt Expense $

c.Determine thenet realizable valueof accounts receivable.

$