Perez Company began the current year with a balance of $148,000 in accounts receivable and $8,600 in allowance for doubtful accounts. During the year, it provided $656,000 in services to customers on account and collected $580,000 in cash from its accounts receivable. Perez wrote off $6,500 of uncollectible accounts during the year. 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:Compute the uncollectible accounts expenseDetermine the net realizable value of accounts receivable at the end of the current year.

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The Answer of Perez Company began the current year with a balance of $148,000 in accounts receivable and $8,600 in allowance for doubtful accounts. During the year, it provided $656,000 in services to customers on account and collected $580,000 in cash from its accounts receivable. Perez wrote off $6,500 of uncollectible accounts during the year. 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:Compute the uncollectible accounts expenseDetermine the net realizable value of accounts receivable at the end of the current year.

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