Assume the followings Total A/R 200,000 Total sales 130,000 (30,000 cash sales) 1- In case the company used 2 % of credit sales 2- In case the company used 4% of A/R The balance of allowance for doubtful account A- Dr. 1000 B- Cr. 1500 The company write off 4000 of A/R The company recovery 2500 of A/R Assume the followings Total A/R 200,000 Total sales 130,000 (30,000 cash sales) 1- In case the company used 2 % of credit sales 2- In case the company used 4% of A/R The balance of allowance for doubtful account A- Dr. 1000 B- Cr. 1500 The company write off 4000 of A/R The company recovery 2500 of A/R