On January 1, J. Chin Star Services has the following balanc…

On January 1, J. Chin Star Services has the following balances: Accounts Receivable $24,000 (debit)Bad Debts Expense  $0 Five Star Services has the following transactions during January: Credit sales of $120,000, collections of credit sales of $86,000, and write-offs of $20,000. Five Star Services uses the direct write-off method. At the end of January, the balance of Accounts Receivable is ________. (Hint: set up a T account for Account Receivable with the beginning balance and work all the transactions accordingly in that account)A) $14,333B) $38,000C) $27,907D) $58,000