Use the following information to answer the next three questions. Ellis Company started the year with a exist4, 600 balance in accounts receivable and a exist150 balance in the allowance for doubtful accounts. The company had credit sales of exist12,000, collections on accounts receivable of exist13,000, and wrote off uncollectible accounts of exist200 during the year. The company believes that 2 percent of its credit sales will be uncollectible. The balance in the accounts receivable account at the end of the year would be a. exist3, 600. b. exist3, 400. c. exist3, 250. d. exist4, 360. The amount of uncollectible accounts expense appearing on the year's income statement would be a. exist532. b. exist332. c. exist240. d. exist440. The net realizable value of receivables at the end of the year would be a. exist3, 210. b. exist3, 350. c. exist3, 250. d. exist3, 410. Under the allowance method, recording the write-off of an uncollectible account will have what effect on the accounting equation? a. Total assets decrease and equity decreases. b. Total assets remain unchanged. c. Total assets increase and equity decreases. d. Liabilities increase and equity decreases. ABC Company accepts a credit card in payment for exist1, 500 of services performed for a customer. The credit card company charges a 4 percent service fee. Recording the transaction on ABC's records will