The Following Information Is Related to December 31, 2016 Balances $\quad\quad\quad\quad\quad\quad\quad\quad \$ 3,150,000$

Multiple Choice

The following information is related to December 31, 2016 balances. - Accounts receivable $\quad\quad\quad\quad\quad\quad\quad\quad \$ 3,150,000$
- Allowance for doubtful accounts (credit) $\quad ( 270,000 )$
- Cash realizable value $\quad\quad\quad\quad\quad\quad\quad\quad \$ 2,880,000$ During 2017 sales on account were $870,000 and collections on account were $516,000. Also during 2017 the company wrote off $48,000 in uncollectible accounts. An analysis of outstanding receivable accounts at year end indicated that bad debts should be estimated at $324,000. The change in the cash realizable value from the balance at 12/31/16 to 12/31/17 was a

A) $300,000 increase.
B) $354,000 increase.
C) $252,000 increase.
D) $306,000 increase.