An Analysis and Aging of the Accounts Receivable of Watts

Multiple Choice

An analysis and aging of the accounts receivable of Watts Company at December 31 reveal these data: $\begin{array}{lr}\text { Accounts receivable } & \$ 2,400,000 \\\text { Allowance for doubtful accounts per books before adjustment (credit) } & 150,000 \\\text { Amounts expected to become uncollectible } & 195,000\end{array}$ What is the cash realizable value of the accounts receivable at December 31 after adjustment?

A) $2,055,000
B) $2,250,000
C) $2,400,000
D) $2,205,000