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At the end of 2019, Sorter plc has accounts receivable of 900,000 and an allowance for doubtful accounts of 40,000. On January 16, 2020, Sorter

At the end of 2019, Sorter plc has accounts receivable of 900,000 and an allowance for doubtful accounts of 40,000. On January 16, 2020, Sorter determined that its receivable from Ordonez Orchards of 8,000 will not be collected, and management authorized its write-off.

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a. Prepare the journal entry for Sorter plc to write off the Ordonez receivable.

b. What is the cash realizable value of Sorter plc's accounts receivable before the write-off of the Ordonez receivable?

c. What is the cash realizable value of Sorter plc's accounts receivable after the write-off of the Ordonez receivable?

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