What is balance of accounts receivable


Response to the following problem:

Diane Feinstein is an attorney in San Francisco. Feinstein uses the direct write-off method to account for uncollectible receivables.

At May 31, Feinstein's accounts receivable were $8,000. During June, she earned service revenue of $20,000 and collected $22,000, from clients on account. She also wrote off uncollectible receivables of $1,000.

What is Feinstein's balance of Accounts Receivable at June 30? Does she expect to collect all of this amount? Why or why not?

 

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Accounting Basics: What is balance of accounts receivable
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