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The Allowance for Doubtful Account has a $5,500 credit balance prior to adjustment (unadjusted balance). Net...

The Allowance for Doubtful Account has a $5,500 credit balance prior to adjustment (unadjusted balance). Net credit sales during the year are $900,000 and ½ of 3% are estimated to be uncollectible. Accounts Receivable has a balance of $80,000 at the beginning of the year. Determine the net realizable value of the receivables. Show the AFDA account and your calculations, in addition to your answer.

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