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On December 31, 2014, Extreme Fitness has adjusted balances of $850000 in Accounts Recevable and $85000 in Allowanco for Doubtful Accounts. On January 2, 2015,

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On December 31, 2014, Extreme Fitness has adjusted balances of $850000 in Accounts Recevable and $85000 in Allowanco for Doubtful Accounts. On January 2, 2015, the compay learns that certain customer accounts are not collectible, so management authorizes a wite-off of these accounts totaling $15,000 a. What amount would the company report as its net accounts receivable on December 31, 2014? b. Prepare the journal entry to write off the accounts on January 2, 2015 (If no entry is required for a transactionevent, select "No Journal Entry Required" in the first account field.) View transaction ist Journal entry worksheet Record the $15,000 write-off of certain customer accounts which are not Note: Enter debits before credits January 02, 201 Record entry Clear entry View general journal e-1. Assuming no other transactions occurred between December 31, 2014, and January 3, 2015, wht amount would the company roport as ts net accounts receivable on January 3, 20157 c-2. Has Net Accounts Receivable changed from Docember 31, 20147 O Yes O No

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