Determined that 1,120 of the accounts receivable were uncollectable and wrote them off? Is this an asset use transaction?

Collected $500 of an account that had been written off previously? Is this also asset use or asset exchange?

The way to solve this question is to think about the journal entry you would write for the situation.

An asset use transaction decreases the amount of assets. An asset exchange transaction increases one asset while decreasing another asset. Adding to your other question, an asset source transaction increases the total amount of assets.

If you'll write journal entries for these two examples, you will be able to see if total assets are increasing, decreasing, or staying the same. If you want to post back with your answer, we can check it for you.