More on the allowance method A partial balance sheet for Cloverfield Industries follows: According to Cloverfield's balance sheet, Cloverfield customers owe a total of .Of that total, Cloverfield expects to receive a total cash value of only from these accounts. Assume that on June 30, 2013 (the end of the next accounting period, but prior to the adjustment for the estimated bad debt), Cloverfield's Allowance for Doubtful Accounts has a credit balance. That would mean the value of the accounts written off by the company was than $172, 382. It is important to understand the balance sheet effect of writing off an uncollectible account using the allowance method. Suppose that on July 1, 2012, Cloverfield determines that a specific customer account valued at $27,000 Is going to be uncollectible and wishes to write it off. When Cloverfield writes off this account, the net realizable value of receivables on the balance sheet will