Profile Corporation
The following data concern Profile Corporation for 2012.
Accounts receivable --january 1, 2012
Credit sales during 2012
Collections from credit customers during 2012 750,000
Allowance far bad debts-jaruary 1,2012 20,000
Eitimated uncollected accounts based on an aging aralysis 45,000
-Refer to the data provided for Profile Corporation. If the aging approach is used to estimate bad debts, find the balance in the Allowance for Bad Debts after the bad debt expense adjustment for 2012.
A) $20,000
B) $15,000
C) $25,000
D) $45,000
Correct Answer:
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