question archive At January 1, year 2, Amman Co
At January 1, year 2, Amman Co
Subject:BusinessPrice: Bought3
At January 1, year 2, Amman Co. had a credit balance of $260,000 in its allowance for uncollectible accounts. Based on past experience, 0.2% of Amman credit sales have been uncollectible. During year 2 Amman wrote off $235,000 of uncollectible accounts. Credit sales for year 2 were $9,000,000. In its December 31, year 2 balance sheet, what amount should Amman report as allowance for uncollectible accounts?
