ist

At September $30,2025,$ the accounts of East Terrace Medical Center $($ETMC$)$ include the following:

$\backslash$table$[[$Accounts Receivable,$$,144,000],[$Allowance for Bad Debts $($credit balance$),,3,700]]$

During the last quarter of $2025,$ ETMC completed the following selected transactions:

View the transactions.

Read the requirements.

Transactions

Requirements

Sales on account, $$460,000.$ Ignore Cost of Goods Sold.

Collections on account, $$432,700$

Wrote off accounts receivable as uncollectible: Silver, Co$.,$ $$1,900$; Oliver Co$.,$ $$700$; and Parrot, Inc., $$400.$

Recorded bad debts expense based on the aging of accounts receivable, as follows:

Journalize the transactions $($omit explanations$).$ Open T$-$accounts for Accounts Receivable and Allowance for Bad Debts using the September $30,2025$ balances. Post the transactions to the two T$-$accounts.

Show how East Terrace Medical Center should report net accounts receivable on its December $31,2025,$ balance sheet.