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At the end of the current year, the accounts receivable account has a debit balance of $851,000 and net sales for the year total $9,650,000.
The allowance account before adjustment has a credit balance of $11,500. Bad debt expense is estimated at 3/4 of 1% of net sales.
The allowance account before adjustment has a credit balance of $11,500. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $36,800.
The allowance account before adjustment has a debit balance of $9,000. Bad debt expense is estimated at 1/2 of 1% of net sales.
The allowance account before adjustment has a debit balance of $9,000. An aging of the accounts in the customer ledger indicates estimated doubtful accounts of $74,700.
question1 for each of the subsequent independent situations relating to the audit of internal controls show the reason
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