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RNE Manufacturing Company sells its products offering 30 days' credit to its customers. During 2018, its first year of operations, the following...

RNE Manufacturing Company sells its products offering 30 days' credit to its customers. During 2018, its first year of operations, the following events occurred:​ Sales on credit 2,400,000 Cash collections from credit customers 1,405,000 Accounts receivable, end of year $995,000 $30,000 of accounts were deemed uncollectible in 2018. The company anticipates that $48,000 worth of ARs will ultimately become uncollectible. Which of the following is not true regarding RNE's 2018 financial statements?

A. RNE reports bad debt expense of $48,000.

B. RNE reports net Accounts Receivables of $947,000.

C. RNE reports gross Accounts Receivables of $965,000.

D. RNE reports Allowance for doubtful accounts of $48,000.


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