1. After the accounts are adjusted at the end of the year, Accounts Receivable has a balance of $215,000, Uncollectible Accounts Expense has a balance of $17,500, and Allowance for Doubtful Accounts has a balance of $12,500. What is the net realizable value of the accounts receivable?
Uncollectible Accounts Expense balance of $17,500 does not in anyway affect the net realizable value of the accounts receivable.
Balance of Accounts Receivable = $215,000,
Less: Allowance for Doubtful Accounts = (-) $12,500
Net realizable value of the accounts receivable = $202,500
2. Explain the meaning of the terms "tangible" and "intangible" and discuss how these terms are used in describing assets.
Tangible: Something that can be physically touched or felt. For example something real and substantial; 'the tangible benefits of sunshine e.g. the warmth'. Intangible: Something that cannot be touched. If something is intangible it does not mean it's not real. It just means it has no physical existence like emotions.