At the beginning of 2014, Mark's sales had the following ledger balances: During the year there were $450 000 of credit sales, $460 000 of collections, and $3 700 of write- offs. At the end of the year, Mark's adjusted for Bad debts expense using the ageing- of- accounts method, and calculated an amount of $1 600 as their estimate of bad debts. At the end of the year, what was the balance in the Allowance account?

Question

At the beginning of 2014, Mark's sales had the following ledger balances:  During the year there were $450 000 of credit sales, $460 000 of collections, and $3 700 of write- offs. At the end of the year, Mark's adjusted for Bad debts expense using the ageing- of- accounts method, and calculated an amount of $1 600 as their estimate of bad debts. At the end of the year, what was the balance in the Allowance account?

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The Answer of At the beginning of 2014, Mark's sales had the following ledger balances:  During the year there were $450 000 of credit sales, $460 000 of collections, and $3 700 of write- offs. At the end of the year, Mark's adjusted for Bad debts expense using the ageing- of- accounts method, and calculated an amount of $1 600 as their estimate of bad debts. At the end of the year, what was the balance in the Allowance account?

At the Beginning of 2014, Mark's Sales Had the Following