Multiple Choice
Use this information to answer the following question. The general ledger account for Accounts Receivable shows a debit balance of $50,000.Allowance for Uncollectible Accounts has a credit balance of $1,000.Net sales for the year were $500,000.In the past,2 percent of sales have proved uncollectible,and an aging of accounts receivable accounts results in an estimate of $13,500 of uncollectible accounts.
-Using the percentage of net sales method,the Allowance for Uncollectible Accounts balance (after adjustment) would be
A) $8,880.
B) $9,880.
C) $10,880.
D) $1,000.
Correct Answer:

Verified
Correct Answer:
Verified
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