Prior to the Write Off of a $30 Customer Account

Multiple Choice

Prior to the write off of a $30 customer account, Kraft Company had the following account balances: $$\begin{array}{l}\begin{array} { | l | l | } \hline \text { Trade receivables } & \$ 9,800 \text { Debit balance } \\\hline \text { Allowance for doubtful accounts } & \$ 500 \text { Credit balance } \\\hline\end{array}\\\\\text { What was the net realizable value of the receivables before and after the write-off? }\\\\\begin{array} { | l | r | r | } \hline & \text { Before } & \text { After } \\\hline \text { A) } & \$ 9,300 & \$ 9,300 \\\hline \text { B) } & \$ 9,400 & \$ 9,270 \\\hline \text { C) } & \$ 9,800 & \$ 9,770 \\\hline \text { D) } & \$ 9,800 & \$ 9,800 \\\hline\end{array}\end{array}$$

A) Choice A
B) Choice B
C) Choice C
D) Choice D