On December 31, 2014, the Grant Corporation estimated that $2,000 of its receivables might not be collected. On that date, the balance of Accounts Receivable was $76,000. On February 1, 2015, Grant wrote off a delinquent account from a customer. Grant uses the allowance method of accounting for uncollectible accounts. Indicate whether each of the following statements is true or false.
1. The write-off entry on February 1, 2015 had no effect on Grant's total assets
2. The write-off entry on February 1, 2015 decreased net income for 2015
3. The net realizable value of accounts receivable (after the appropriate adjusting entry on December 31, 2014) was $76,000
4. The entry to write off the account on February 1, 2015 included recognition of Uncollectible Accounts Expense
5. The adjusting entry on December 31, 2014 had no effect on Grant's total assets

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The Answer of On December 31, 2014, the Grant Corporation estimated that $2,000 of its receivables might not be collected. On that date, the balance of Accounts Receivable was $76,000. On February 1, 2015, Grant wrote off a delinquent account from a customer. Grant uses the allowance method of accounting for uncollectible accounts. Indicate whether each of the following statements is true or false.
1. The write-off entry on February 1, 2015 had no effect on Grant's total assets
2. The write-off entry on February 1, 2015 decreased net income for 2015
3. The net realizable value of accounts receivable (after the appropriate adjusting entry on December 31, 2014) was $76,000
4. The entry to write off the account on February 1, 2015 included recognition of Uncollectible Accounts Expense
5. The adjusting entry on December 31, 2014 had no effect on Grant's total assets

On December 31, 2014, the Grant Corporation Estimated That $2,000