Question
The Town of Pavilion's July 1, 2015 balance sheet reports the following property tax accounts: Taxes receivable $300,000 Allowance for uncollectible taxes (140,000) Taxes receivible,
The Town of Pavilion's July 1, 2015 balance sheet reports the following property tax accounts:
Taxes receivable | $300,000 |
Allowance for uncollectible taxes | (140,000) |
Taxes receivible, net | $160,000 |
During fiscal 2016, $170,000 in cash is collected on fiscal 2015 taxes and the remainder are written off. The town levies fical 2016 property taxes in the amount of $2,000,000. It estimates that uncollectible property taxes for 2016 are $120,000. Cash collected for 2016 property taxes is $1,825,000. $30,000 of the remaining uncollected 2016 taxes are expected to be collected early in fical 2017. What are property tax revenues for fiscal 2016?
A. $1,825,000
B. $1,865,,000
C. $1,695,000
D. $1,840,000
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