Candy Co.had accounts receivable totalling $450,000 and an allowance for doubtful accounts with a balance of $5,000 on June 1, 2011.On June 2 Candy wrote off $7,500 of uncollectible accounts.The net carrying value of accounts receivable before and after the write-off was: $\begin{array} { l }
& \text {Before }& \text { After }\\hline
a. & \$ 450,000 &\$ 442,500 \
b. & \$ 445,000& \$ 442,500 \
c. &\$ 445,000& \$ 452,500 \
d.&\$ 445,000 &\$ 457500 \
\end{array}$

Question

Candy Co.had accounts receivable totalling $450,000 and an allowance for doubtful accounts with a balance of $5,000 on June 1, 2011.On June 2 Candy wrote off $7,500 of uncollectible accounts.The net carrying value of accounts receivable before and after the write-off was: $\begin{array} { l  }
& \text {Before }& \text { After }\\hline
a. & \$ 450,000 &\$ 442,500 \
b. & \$ 445,000& \$ 442,500 \
c. &\$ 445,000& \$ 452,500 \
d.&\$ 445,000 &\$ 457500 \
\end{array}$

Quizplus · Accepted Answer

The Answer of Candy Co.had accounts receivable totalling $450,000 and an allowance for doubtful accounts with a balance of $5,000 on June 1, 2011.On June 2 Candy wrote off $7,500 of uncollectible accounts.The net carrying value of accounts receivable before and after the write-off was: $\begin{array} { l  }
& \text {Before }& \text { After }\\hline
a. & \$ 450,000 &\$ 442,500 \
b. & \$ 445,000& \$ 442,500 \
c. &\$ 445,000& \$ 452,500 \
d.&\$ 445,000 &\$ 457500 \
\end{array}$

Candy CoHad Accounts Receivable Totalling $450,000 and an Allowance for Doubtful