AT&T Inc. Data for the year ended December 31, 2023:

• Accounts receivable: $900,000
• Estimated uncollectible accounts: 5%
• Sales: $10,000,000
• Cost of goods sold: $6,000,000
• Operating expenses: $3,000,000
• Calculate the allowance for doubtful accounts.
• Determine the net realizable value of accounts receivable.
• Discuss the impact on AT&T's net income if no allowance for doubtful accounts was recorded.
• How should the company record the adjustment for uncollectible accounts?