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Chez Fred Bakery estimates the allowance for uncollectible accounts at 1% of the ending balance of...

Chez Fred Bakery estimates the allowance for uncollectible accounts at 1% of the ending balance of accounts receivable. During 2021, Chez Fred's credit sales and collections were $120,000 and $137,000, respectively. What was the balance of accounts receivable on January 1, 2021, if $180 in accounts receivable were written off during 2021 and if the allowance account had a balance of $570 on December 31, 2021?

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Chez Fred Bakery Amount $
Balance in allowance account            570.00
Uncollectible % 1%
Accounts receivable (Gross) at Dec 31, 2021      57,000.00
Final Answer Amount $
Accounts receivable (Gross) at Dec 31, 2021      57,000.00
Add: Cash collection    137,000.00
Add: Amount written of            180.00
Less: Credit sales (120,000.00)
Accounts receivable (Gross) at Jan 1, 2021      74,180.00
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