Reference no: EM132728303
Question - At January 1, 2021, Vy6r3 Company had accounts receivable of $260,000 and an allowance for doubtful accounts with a $17,000 credit balance.
During 2021, Vy6r3 Company reported the following information:
Write-offs of uncollectible accounts $38,260
Cash collections from credit customers $164,210
Net credit sales $363,560
Recoveries of previously written-off accounts $14,240
Vy6r3 Company estimates bad debt expense using the net credit sales method and has estimated that 5% of its net credit sales will be uncollectible.
Required - Calculate Vy6r3 Company's net realizable value at December 31, 2021.
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: At January 1, 2021, Vy6r3 Company had accounts receivable of $260,000. Calculate Vy6r3 Company's net realizable value at December 31, 2021
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