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Exercise 7-6A Effect of recovering a receivable previously written off LO 7-1 Renue Spa had the following balances at December 31, Yeart Cash of $18,000,

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Exercise 7-6A Effect of recovering a receivable previously written off LO 7-1 Renue Spa had the following balances at December 31, Yeart Cash of $18,000, Accounts Receivable of $86,000, Allowance for Doubtful Accounts of $2,900, and Retained Earnings of $101,100. During Year 3, $2,400 of accounts receivable were written off as uncollectible. In addition, Renue unexpectedly collected $140 of receivables that had been written off in a previous accounting period. Services provided on account during Year 3 were $220,000, and cash collections from receivables were $222,018. Uncollectible accounts expense was estimated to be 1 percent of the sales on account for the period. Required o. Organize the transaction data in accounts under an accounting equation b. Based on the preceding Information, compute (after year-end adjustment): 1 (1) Balance of Allowance for Doubtful Accounts at December 31, Year 3 2 (2) Balance of Accounts Receivable at December 31, Year 3. 3. (3) Net realizable value of Accounts Receivable at December 31, Year 3. c. What amount of uncollectible accounts expense will Renue Spa have for Year 3? Complete this question by entering your answers in the tabs below. Reg Reg B and Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. Not all cells in the "Accounts Titles for Retained Earnings" column may require an input leave cells blank if there is no corresponding Retained Earnings input needed.) Assets Event Accounts Cash RENUE SPA Horizontal Statements Model Equity Liabilities Retained Accounts Titles for Retained Earnings Allowance Earnings 2.900 101 1001 . * Receivable 86.000- 18,000 - - - 18.000 36.000 2.900 101,100 Req B and C > Complete this question by entering your answers in the tabs below. Reg A Req B and C Based on the preceding information, compute (after year-end adjustment): (1) Balance of Allowance for Doubtful Accounts at December 31, Year 3. (2) Balance of Accounts Receivable at December 31, Year 3. (3) Net realizable value of Accounts Receivable at December 31, Year 3. What amount of uncollectible accounts expense will Renue Spa for Year 3? Show less b-1. Allowance for doubtful accounts b-2. Accounts receivable b-3. Net realizable value C. Uncollectible accounts expense ( Req A Rand

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