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Fred Company estimates allowance for uncollectible accounts at 5% of the ending balance of accounts receivable. During the year, credit sales were $350,000 and
Fred Company estimates allowance for uncollectible accounts at 5% of the ending balance of accounts receivable. During the year, credit sales were $350,000 and collections were $380,000. Compute the beginning balance in accounts receivable if $12,000 in accounts receivable were written off and the allowance account had a credit balance of $10,000.
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