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At December 31, 2013, Dustin Company reported this information on its balance sheet. Accounts Receivable: $960000 Less: Allowance for doubtful accounts: $78000 During 2014, the

At December 31, 2013, Dustin Company reported this information on its balance sheet.

Accounts Receivable: $960000

Less: Allowance for doubtful accounts: $78000

During 2014, the company had the following transactions related to receivables.

1. Sales on account: $3600000

2. Sales returns and allowances: $150000

3. Collections of accounts receivable: $3100000

4. Write-offs of accounts receivable deemed uncollectible: $92000

5. Recovery of bad debts previously written off as uncollectible: $28000

Question: Enter the Jan. 1, 2014 balances in Accounts Receivable and Allowance for Doubtful Accounts, post the entries to two accounts (use T-accounts), and determine the balances.

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