Problem Set A
Copeland Company had the following account balances at December 31, 2016, before recording bad debt expense for the year:
	Unadjusted Trial Balance
	Accounts receivable			$1,400,000
	Allowance for uncollectible accounts (credit balance)			22,000
	Credit sales for 2016			1,950,000
	Ending 12/31/2015
	Balance in Accounts receivable on 1/1/2016			$1,200,000
	Balance in Allowance for uncollectible accounts (credit balance) on 1/1/2016			24,000
Copeland is considering the following approaches for estimating bad debts for 2016:
	Option A: Based on 3% of credit sales
	Option B: Based on an aging of year-end accounts receivable
	Days	Amount Outstanding	Estimated % Uncollectible
	0-30	$800,000	3%
	31-60	300,000	6%
	61-120	200,000	9%
	Over 120	100,000	24%
		$1,400,000
REQUIRED:
1	What would the gross Accounts Receivable amount be for year ending 2016?				Show T account
2	What would the net Accounts Receivable amount be for year ending 2016?				Show T account