Sierra Wireless, Inc. produces and markets a range of products, such as wireless modems for mobile computers and vehicle-mounted modems, which allow users to access wireless data and voice communication networks using laptop computers or hand-held mobile computing devices. The company's consolidated financial statements reported the following in its 2009 annual report (in U.S. thousands):

Required:
a. Is the balance in Sierra Wireless Inc.'s accounts receivable at the end of 2009 significantly higher or lower than it was at the end of 2008? Support your answer with a calculation of the percentage increase or decrease.
b. Is the balance in its allowance for doubtful accounts significantly higher or lower at the end of 2009, compared with the end of 2008? Support your answer with a calculation of the percentage increase or decrease.
c. What possible explanations can you suggest for such a big change in the relationship between the company's accounts receivable and its allowance for doubtful accounts in 2009?

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2009 526,384 $567,308 86.466 67,058 2008 Revenues Accounts receivable, net of allowance for doubtful accounts of $6,504 in 2009 and $1,989 in 2008