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The controller of Tasko Inc. is in the process of computing the bad debt expense for 2022. Unfortunately, a computer virus attacked Tasko's accounting system

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The controller of Tasko Inc. is in the process of computing the bad debt expense for 2022. Unfortunately, a computer virus attacked Tasko's accounting system one night and destroyed the information regarding the approach that Tasko has consistently used for computing the uncollectible accounts expenses for the past 3 years. However the following information is provided by the credit manager. 2020 2021 2022 Accounts receivable, December 31 $149,000 $164,000 $178,000 Allowance for doubtful accounts (credit balance), Dec. 31 58,000 68,000 72.000 Accounts receivable written off during the year 20,500 25,000 36,000 Sales: Cash 150,000 280,000 320,000 Credit 750,000 700,000 800,000 * Tasko uses the perpetual inventory system and its cost of goods sold is 45% of the sales. + The credit manager explains that the large write off in 2021 was due to an unexpected bankruptcy of a major customer even though the age distribution of accounts receivable has been very consistent over the past three years. Required: 4. What are the impact on Assets, Liabilities, Shareholders' Equity, and Net Earnings, when the uncollectible accounts receivable is written off? Please identify as (1) Increase. (2) Decrease, or (3) No Effect. D B Liabilities 1 2 Assets Shareholders' Equity Net Earnings

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