[The following information applies to the questions displayed below.] Leach Inc. experienced the following events for the first two years of its operations: Year 1:

1. Issued $26,000 of common stock for cash.
2. Provided $95,600 of services on account.
3. Provided $52,000 of services and received cash.
4. Collected $85,000 cash from accounts receivable.
5. Paid $54,000 of salaries expense for the year.
6. Adjusted the accounting records to reflect uncollectible accounts expense for the year. Leach estimates that 4 percent of the ending accounts receivable balance will be uncollectible.
7. Closed the revenue account.
8. Closed the expense account.

Year 2:

1. Wrote off an uncollectible account for $750.
2. Provided $104,000 of services on account.
3. Provided $48,000 of services and collected cash.
4. Collected $97,000 cash from accounts receivable.
5. Paid $81,000 of salaries expense for the year.
6. Adjusted the accounts to reflect uncollectible accounts expense for the year. Leach estimates that 4 percent of the ending accounts receivable balance will be uncollectible.

c. What is the net realizable value of the accounts receivable at December 31, Year 1?

Net realizable value