Oakwood Company had accounts receivable of $750,000 and an allowance for doubtful accounts of the $21,500 just prior to writing off as worthless an account receivable for Hyland Company of $5,000.The net realizable value of accounts receivable as shown by the accounting records before and after the write-off was as follows: $$\begin{array} { l l c }
& \underline { \text { Before } } & \underline { \text { After } } \
\text { A. } & \$ 750,000 & \$ 750,000 \
\text { B. } & \$ 721,500 & \$ 733,500 \
\text { C. } & \$ 728,500 & \$ 723,500 \
\text { D. } & \$ 728,500 & \$ 728,500
\end{array}$$

Question

Oakwood Company had accounts receivable of $750,000 and an allowance for doubtful accounts of the $21,500 just prior to writing off as worthless an account receivable for Hyland Company of $5,000.The net realizable value of accounts receivable as shown by the accounting records before and after the write-off was as follows: $$\begin{array} { l l c } 
& \underline { \text { Before } } & \underline { \text { After } } \
\text { A. } & \$ 750,000 & \$ 750,000 \
\text { B. } & \$ 721,500 & \$ 733,500 \
\text { C. } & \$ 728,500 & \$ 723,500 \
\text { D. } & \$ 728,500 & \$ 728,500
\end{array}$$

Quizplus · Accepted Answer

The Answer of Oakwood Company had accounts receivable of $750,000 and an allowance for doubtful accounts of the $21,500 just prior to writing off as worthless an account receivable for Hyland Company of $5,000.The net realizable value of accounts receivable as shown by the accounting records before and after the write-off was as follows: $$\begin{array} { l l c } 
& \underline { \text { Before } } & \underline { \text { After } } \
\text { A. } & \$ 750,000 & \$ 750,000 \
\text { B. } & \$ 721,500 & \$ 733,500 \
\text { C. } & \$ 728,500 & \$ 723,500 \
\text { D. } & \$ 728,500 & \$ 728,500
\end{array}$$

Oakwood Company Had Accounts Receivable of $750,000 and an Allowance