A Company's Accounts Receivable Balance After Posting Net Collections from Customers

A company's accounts receivable balance after posting net collections from customers for the current year is $150,000. Management feels that uncollected accounts should be based on the following aging of accounts receivable and uncollected percentages. There are $100,000 that are 1-30 past due at 2% and $50,000 that are 31 to 60 days past due at 10%. The net realizable value of the accounts receivable is

A) $147,500
B) $148,000
C) $150,000
D) $143,000

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free