At the end of 2009, Tatum Co has accounts receivable of $700,000 and an allowance for doubtful accounts of $28,000. On January 24, 2010, it is learned that the company's receivable from Novinger Inc. is not collectible and therefore management authorizes a write-off of $2000.
a) Prepare the journal entry to record the write-off
b) What is the cash realizable value of the accounts receivable (1) before the write-off and (2) after the write off?