At the Beginning of the Year, Accounts Receivable Were $39,000

Essay

At the beginning of the year, accounts receivable were $39,000 and the allowance for bad debts was $2,400.During the year, sales (all on account)were $120,000, cash collections were $114,000, bad debts expense totaled $1,700, and $2,000 of accounts receivable were written off as bad debts.
Required:
Calculate the balances at the end of the year for the Accounts Receivable and Allowance for Bad Debts accounts.(Hint: Use T-accounts to analyze each of these accounts, plug in the amounts that you know, and solve for the ending balances.)