Chico Company Began 2016 with Balances in Accounts Receivable and Allowance

Essay

Chico Company began 2016 with balances in accounts receivable and allowance for doubtful accounts of $44,300 and $1,675,respectively.The company reported credit sales of $490,250 during the year,and wrote off $1,400 of uncollectible accounts.Chico Company prepared the following aging schedule on December 31,2016:
Required: a)Prepare general journal entries to record the 2016 credit sales,collection of accounts receivable,write-off of uncollectible accounts,and estimate of uncollectible accounts.
b)What is Chico Company's net realizable value of receivables after all of the above entries have been made?