In the first year of operations, 2013, Randy's Repair Service recognized $240,000 of service revenue on account. The ending accounts receivable balance was $44,000. Randy estimates that 2% of sales on account will not be collected. During the year, Randy wrote off a $100 receivable that was determined to be uncollectible. Assume there were no other transactions affecting accounts receivable.
Required:
a) What amount of cash was collected in 2013?
b) What amount of uncollectible accounts expense was recognized in 2013?
c) What will be Randy's net realizable value of receivables on the December 31, 2013 balance sheet?

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The Answer of In the first year of operations, 2013, Randy's Repair Service recognized $240,000 of service revenue on account. The ending accounts receivable balance was $44,000. Randy estimates that 2% of sales on account will not be collected. During the year, Randy wrote off a $100 receivable that was determined to be uncollectible. Assume there were no other transactions affecting accounts receivable.
Required:
a) What amount of cash was collected in 2013?
b) What amount of uncollectible accounts expense was recognized in 2013?
c) What will be Randy's net realizable value of receivables on the December 31, 2013 balance sheet?

In the First Year of Operations, 2013, Randy's Repair Service