Question: May I ask for an explanation and supporting solution in good accounting form to the problem for a better understanding. Thank you! The beginning Accounts

May I ask for an explanation and supporting solution in good accounting form to the problem for a better understanding. Thank you!

The beginning Accounts Receivable and Allowance for Doubtful Accounts balances of ABC Corporation are P500,000 and P50,000. Net credit sales totaled P4,500,000 during the year while collections amounted to P4,400,000. Bad debts expense for the year is P30,000. Included in the collections was a P10,000 account that was written off in the prior year and was recovered during the current year. What is the net realizable value of the Accounts Receivable as of the end of the year?

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