How do we calculate the ending account receivables? should we do it like this?

= 145,000 + Credit sales 601,000 - Cash collections 581,000 - Written off 12,100 = 152,900

OR the below

At the beginning of the year, accounts receivable were $145,000 and the allowance for bad debts was $11,600. During the year, sales (all on account) were $601,000, cash collections were $581,000, bad debts expense totaled $14,500, and $12,100 of accounts receivable were written off as bad debts. Required: Calculate the balances at the end of the year for the Accounts Receivable and Allowance for Bad Debts accounts. (Hint. Use Taccounts to analyze each of these accounts, plug in the amounts that you know, and solve for the ending balances.) EndingbalanceofAccountsReceivable=Totalaccountsreceivable+Adjustedallowanceforbaddebts=$7,900+$14,000=$21,900