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The accounts receivable balance for Renue Spa at December 31, Year 1. was $81,000. Also on that date, the balance in the Allowance for Doubtful

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The accounts receivable balance for Renue Spa at December 31, Year 1. was $81,000. Also on that date, the balance in the Allowance for Doubtful Accounts was $2,500. Total retained earnings at the end of Year 1 was $78,500. During Year 2, S1,900 of accounts receivable were written off as uncollectible. In addition, Renue unexpectedly collected $120 of receivables that had been written off in a previous accounting period. Services provided on account during Year 2 were $217.000, and cash collections from receivables were $218,991. Uncollectible accounts expense was estimated to be 1 percent of the sales on account for the period. Required a. Organize the information in accounts under an accounting equation b. Based on the preceding information, compute (after year-end adjustment): 1. (1) Balance of Allowance for Doubtful Accounts at December 31, Year 2. 2. (2) Balance of Accounts Receivable at December 31, Year 2. 3. (3) Net realizable value of Accounts Receivable at December 31, Year 2 c. What amount of uncollectible accounts expense will Renue Spa record for Year 2? ormation in accounts under an accounting equation. (Enter any decreases to account there is no effect on the Accounts Titles for Retained Earnings, leave the cell blank. Not all cells will ree RENUE SPA Horizontal Statements Model Equity Liabilities Retained Earnings Event Assets NRV Accounts Receivable Cash Accounts Titles for Retained Earnings Bal ++ + HI!!!!!!!!!!!! + + + Bal 120 + 0+ Based on the preceding information, compute (after year-end adjustme (1) Balance of Allowance for Doubtful Accounts at December 31, Year 2 (2) Balance of Accounts Receivable at December 31, Year 2. (3) Net realizable value of Accounts Receivable at December 31, Year 2 What amount of uncollectible accounts expense will Renue Spa record fo b-1 Allowance for doubtful accounts b-2. Accounts receivable b-3.Net realizable value C. Uncollectible accounts expense

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