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Business, 17.09.2021 04:40 catcat252525
The accounts receivable balance for Renue Spa at December 31, Year 1, was $61,000. Also on that date, the balance in the Allowance for Doubtful Accounts was $3,750. Total retained earnings at the end of Year 1 was $57,250. During Year 2, $2,100 of accounts receivable were written off as uncollectible. In addition, Renue unexpectedly collected $500 of receivables that had been written off in a previous accounting period. Services provided on account during Year 2 were $215,000, and cash collections from receivables were $218,000. Uncollectible accounts expense was estimated to be 2 percent of the sales on account for the period.
Required:
Organize the information in accounts under an accounting equation.
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The accounts receivable balance for Renue Spa at December 31, Year 1, was $61,000. Also on that date...
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