Aging of receivables; estimating allowance for doubtful accounts Wig Creations Company supplies wigs and hair care products to beauty salons throughout Texas and the Southwest. The accounts receivable clerk for Wig Creations prepared the following partially completed aging of receivables schedule as of the end of business on December 31 , 20Y7: The following accounts were unintentionaliy omitted from the aging schedule. Assume all due dates are for the current year except for Visions Hair 8 Nail, which is due in the next year. Wig Creations has a pest history of uncoliectible accounts by age category, as follows: 1. Determine the number of days past due for each of the preceding accounts. If an account is not past due, enter a zero. 2. Complete the aging of receivables schedule by adding the omitted accounts to the bottom of the schedule and updating the totals. If an amount box does not require an entry, leave it blank. Wig Creations Company Aging of Receivables Schedule December 31, 20Y7 3. Estimate the allowance for doubtful accounts, based on the aging of receivables schedule. 4. Assume that the allowance for doubtful accounts for Wig Creations has a credit balance of $4,800 before adjustment on December 31 , 20Y7. Journalize the adjustment for uncollectible accounts. If an amount box does not require an entry, leave it blank. 5. Assuming that the adjusting entry in (4) was inadvertently amitted, haw would the omision affect the balance sheet and income statement? - In addition, the stockholders' equity (retained earnings) would be because bad debt expense would be and net income by 1 on the income statement