Barnes, Inc had net sales in year 2014 of $500,000. At December 31, of year 2014, before adjusting entries, the balances in selected accounts were: accounts receivable $122,000 debit, and allowance for doubtful accounts $2,000 credit. Lithotech estimates that 3% of its net sales will prove to be uncollectible. What is the NET realizable value of the receivables reported on the statement of financial position at December 31, 2014, AFTER adjusting entries?

A. 118,340

B. 120,340

C. 122,000

D. 116,340