1. The following information is related to December 31, 2021 balances.

• Accounts receivable $3,150,000
• Allowance for doubtful accounts (credit) (270,000)
• Net realizable value $2,880,000

During 2022, sales on account were $870,000 and collections on account were $516,000. The company wrote off $48,000 in uncollectible accounts. An analysis of outstanding receivable accounts at year-end indicated that bad debts should be estimated at $324,000.

The change in the net realizable value of accounts receivable from the balance at 12/31/21 to 12/31/22 was a

		$300,000 increase.
		$354,000 increase.
		$252,000 increase.