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Business, 27.01.2021 19:50 shauntleaning

Echo Corporation had the following balances immediately prior to writing off a $100 uncollectible account: Current assets $30,000
Accounts receivable 3,300
Allowance for doubtful accounts 300
Current liabilities 10,000

Required:
Calculate the following amounts or ratios and determine the relationship between the amount or ratio before the write-off (x) with the amount or ratio after the write-off (y);

Amount or Ratio Possibilities
1. Current ratio a. x more than y
2. Net accounts receivable balance b. x equals y
3. Gross accounts receivable balance c. x less than y
d. cannot be determined

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Answers: 1

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