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On January? 1, Five Star Services has the following? balances:
Accounts Receivable - $24,000 ?(debit)
Bad Debts Expense - ?$0
Five Star Services has the following transactions during? January:
Credit sales of $140,000?,
collections of credit sales of $85,000?, and
write-offs of $20,000.
Problem 1: Five Star Services uses the direct write-off method. At the end of? January, the balance of Accounts Receivable is
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Determine the post-closing balance in Retained Earnings. Retained Earnings. The parts of this question must be completed in order.
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