Assume the following unadjusted account balances at the end of the accounting period: Accounts Receivable, $40,000; Allowance for Uncollectible Accounts, -$800 (negative balance); Sales revenue, $450,000. If the company ages the accounts and determines that $2,000 of the receivables may be uncollectible, the effect of the adjustment on the financial statements would be:

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The Answer of Assume the following unadjusted account balances at the end of the accounting period: Accounts Receivable, $40,000; Allowance for Uncollectible Accounts, -$800 (negative balance); Sales revenue, $450,000. If the company ages the accounts and determines that $2,000 of the receivables may be uncollectible, the effect of the adjustment on the financial statements would be:

Assume the Following Unadjusted Account Balances at the End of the Accounting