Information related to accounts receivable is given:

At the beginning of the year, Health Products Corp. has a balance of $2,450,000 in accounts receivable and $220,000 in the allowance for doubtful accounts. Sales for the year were $19,300,000, of which 70% were on credit. Cash payments on account were $12,905,000. Sales returns were $340,000. Accounts of $107,600 were written off, but $32,900 was subsequently recovered and collected. This $32,900 cash payment was in addition to the collections previously mentioned. At year-end, a review indicated that 8% of outstanding accounts receivable were uncollectible, but that there was no risk of further sales returns.

Required:

Show how net accounts receivable would be reported on the statement of financial position, and calculate bad debt expense for the year.