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Wewaii [24]
3 years ago
9

Assume that the balances in Accounts Receivable and the Allowance for Bad Debts accounts were $50,000 and $3,000, respectively,

before a write-off entry for $1,000 was recorded. how much would be reported on the balance sheet as "Net accounts receivable" BEFORE the write-off entry was recorded
$50,000 - $3,000 = $47,000

Reminder: this is the equation before the write-off entry was recorded
Social Studies
1 answer:
RSB [31]3 years ago
4 0

Answer:

The net balance of accounts receivables will be the same before and after the write-off:

47,000 dollars

Explanation:

<u><em>Before the write-off </em></u>the balance for accounts receivables will be:

50,000 accounts recievables

<u> (3,000)</u> allowance

47,000 net

<u><em>write-off entry</em></u>

allowance for Bad Debts 1,000 debit

      accounts receivables           1,000 credit

<em><u>After the write-off</u></em>

49,000 accounts receivables

<u> (2,000)</u> allowance

47,000 net

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