Chez Fred Bakery estimates the allowance for uncollectible accounts at 3% of the ending balance of accounts receivable. During 2024, Chez Fred's credit sales and collections were \$119,000 and \$137,000, respectively. What was the balance of accounts receivable on January 1, 2024, if \$240 in accounts receivable were written off during 2024 and if the allowance account had a balance of \$480 on December 31, 2024?
Multiple Choice
\$37,000
\$34,240
\$780
None of these answer choices are correct