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 $17,900 of
uncollectible accounts. Using the accounts receivable aging method, the Allowance for Uncollectible Accounts balance (after adjustment) would be
a. $16,900.
b. $18,400.
c. $17,900.
d. $18,900.
A
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