Chico Company began 2016 with balances in accounts receivable and allowance for doubtful accounts of $44,300 and $1,675,respectively.The company reported credit sales of $490,250 during the year,and wrote off $1,400 of uncollectible accounts.Chico Company prepared the following aging schedule on December 31,2016:
Required: a)Prepare general journal entries to record the 2016 credit sales,collection of accounts receivable,write-off of uncollectible accounts,and estimate of uncollectible accounts.
b)What is Chico Company's net realizable value of receivables after all of the above entries have been made?

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The Answer of Chico Company began 2016 with balances in accounts receivable and allowance for doubtful accounts of $44,300 and $1,675,respectively.The company reported credit sales of $490,250 during the year,and wrote off $1,400 of uncollectible accounts.Chico Company prepared the following aging schedule on December 31,2016:
Required: a)Prepare general journal entries to record the 2016 credit sales,collection of accounts receivable,write-off of uncollectible accounts,and estimate of uncollectible accounts.
b)What is Chico Company's net realizable value of receivables after all of the above entries have been made?

Chico Company Began 2016 with Balances in Accounts Receivable and Allowance