Employers can take a variety of approaches to deal with the shifting nature of jobs and job requirements. the approach would maintain current employees, providing them with instruction on the newly required skills, whereas the approach would replace the under-skilled employees with new, skilled employees.

At the end of the current year, accounts receivable has a balance of $550,000; allowance for doubtful accounts has a credit balance of $5,500; and sales for the year total $2,500,000. an analysis of receivables estimates uncollectible receivables as $25,000. determine the net realizable value of accounts receivable after adjustment. (hint: determine the amount of the adjusting entry for bad debt expense and the adjusted balance of allowance of doubtful accounts.)