The balance in accounts receivable at the beginning of 2016 was $700. During 2016, $2,700 of credit sales were recorded. If the ending balance in accounts receivable was $80 and $200 in accounts receivable were written off during the year, the amount of cash collected from customers during 2016 was:

1)$2,700.

$3,120.

$3,320.

$3,400.

2)Calistoga Produce estimates bad debt expense at 0.30% of credit sales. The company reported accounts receivable and allowance for uncollectible accounts of $475,000 and $1,470, respectively, at December 31, 2015. During 2016, Calistoga's credit sales and collections were $333,000 and $303,000, respectively, and $1,880 in accounts receivable were written off. Calistoga's accounts receivable at December 31, 2016, are:

443,120.

$473,120.

$505,000.

$503,120.