Perez Company began Year 2 with a balance of $148,000 in accounts receivable and $8,600 in allowance for doubtful accounts. During the year, the company recognized $656,000 of service earned on account and collected $580,000 cash from accounts receivable. Perez wrote off $6,500 of uncollectible accounts during Year 2. At the end of the year, the company prepared an aging schedule and adjusted its accounts based on the estimate that $12,600 of receivables would not be collected.Required:What was the net realizable value of Perez accounts receivable at the end of Year 2?

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The Answer of Perez Company began Year 2 with a balance of $148,000 in accounts receivable and $8,600 in allowance for doubtful accounts. During the year, the company recognized $656,000 of service earned on account and collected $580,000 cash from accounts receivable. Perez wrote off $6,500 of uncollectible accounts during Year 2. At the end of the year, the company prepared an aging schedule and adjusted its accounts based on the estimate that $12,600 of receivables would not be collected.Required:What was the net realizable value of Perez accounts receivable at the end of Year 2?

Perez Company Began Year 2 with a Balance of $148,000