Answer:
Net accounts receivable before write-off = $244,000
Net accounts receivable after write-off = $229600
Explanation:
given data
Accounts Receivable = $260,000
Allowance for Doubtful Accounts = $16,000
writes-off customer account balance = $1,600
solution
we get her Net accounts receivable that is express as
Net accounts receivable = Accounts Receivable - Allowance for Doubtful Accounts .....................1
so here before write-off Net accounts receivable is
Net accounts receivable = $260,000 - $16,000
Net accounts receivable = $244,000
and
after write-off
writes-off a customer account balance entry as
Allowance Doubtful Account = $1,600 Debit
Accounts Receivable = $1,600 Credit
so
Net accounts receivable after write-off
Net accounts receivable = $244,000 - ($16000 - 1600 )
Net accounts receivable = $229600
