In the first year of operations,2012,Ringsted Repair Service recognized $265,000 of service revenue on account.The ending accounts receivable balance was $75,000.The company estimates that 3% of sales on account will not be collected.Assume there were no other transactions affecting accounts receivable.
Required:
a)What amount of cash was collected in 2012?
b)What amount of uncollectible accounts expense was recognized in 2012?

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The Answer of In the first year of operations,2012,Ringsted Repair Service recognized $265,000 of service revenue on account.The ending accounts receivable balance was $75,000.The company estimates that 3% of sales on account will not be collected.Assume there were no other transactions affecting accounts receivable.
Required:
a)What amount of cash was collected in 2012?
b)What amount of uncollectible accounts expense was recognized in 2012?

In the First Year of Operations,2012,Ringsted Repair Service Recognized $265,000