On 1 January,Davidson Services Has the Following Balances $\begin{array}{l}\text { Accounts receivable }\\\begin{array}{ll|l}\hline \text { Bal }& \$ 25,000 & \\\hline\end{array}\end{array}$

Multiple Choice

On 1 January,Davidson Services has the following balances: $\begin{array}{l}\text { Accounts receivable }\\\begin{array}{ll|l}\hline \text { Bal }& \$ 25,000 & \\\hline\end{array}\end{array}$

$\begin{array}{l}\text { Bad debts expense }\\\begin{array}{ll|l}\hline \text { Bal }& \$ 0 & \\\hline\end{array}\end{array}$ Davidson has the following transactions during January: Credit sales of $120,000,collections of credit sales of $87,000 and write-offs of $16,000.Davidson uses the direct write-off method.At the end of January,the balance in Accounts receivable is :

A) $42,000.
B) $22,069.
C) $58,000.
D) $11,600.