CALCULATOR FULL SCREEN PRINTER VERSION BACK NEXT Multiple Ch

CALCULATOR FULL SCREEN PRINTER VERSION BACK NEXT Multiple Choice Question 104 In 2018, Marigold Company had credit sales of $892000. On January 1, 2018, Allowance for Doubtful Accounts had a credit balance of $22700. During 2018, $36000 of uncollectible accounts receivable were written off. Past experience indicates that the allowance balance should be 10% of the accounts receivable become uncollectible. What should be the required adjustment to the Allowance for Doubtful Accounts at December 31, 2018 if the ending accounts receivable balance was $235000? $36800.00 ?$23500.00 $36000.00 $46200.00 LINK TO TEXT SUBMIT ANSWER Question Attempts: 0 of 1 used SAVE FOR LATER S

Solution

Adjustment to Allowance for doubtful accounts = (235000*10%)-(22700-36000)= $36800 Option 1 is correct