the accounts receivable balance for renue spa at december 31, year 1, was $61,000. also on that date, the balance in the allowance for doubtful accounts was $3,750. total retained earnings at the end of year 1 was $57,250. during year 2, $2,100 of accounts receivable were written off as uncollectible. in addition, renue unexpectedly collected $500 of receivables that had been written off in a previous accounting period. services provided on account during year 2 were $215,000, and cash collections from receivables were $218,000. uncollectible accounts expense was estimated to be 2 percent of the sales on account for the period.