At the close of its first year of operations, December 31, 2007, Linn Company had net realizable value of accounts receivable of $500,000, after deducting the related allowance for doubtful accounts. During 2007, the company had charges to bad debt expense of $100,000 and wrote off, as uncollectible, accounts receivable of $40,000. What should the company report on its balance sheet at December 31, 2007, as accounts receivable before the allowance for doubtful accounts?

$560,000 (this is the answer how do you calculate)