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Ari's Bakery has the following information from its December 31, 2017 year end: Sales: $290,000 Accounts Receivable $53,117* Allowance for Doubtful Accounts $5,850 (unadjusted credit

Ari's Bakery has the following information from its December 31, 2017 year end:

Sales: $290,000

Accounts Receivable $53,117*

Allowance for Doubtful Accounts $5,850 (unadjusted credit balance)

*Age of Accounts

Current Accounts $29,600

0-30 days past due 12,850

31-60 days past due 5,217

61-90 days past due 3,000

Over 90 days past due 2,450

Total Accounts Receiveable $53,117

Assuming the company uses the allowance method, determine the required year end adjusting entry (rounded to the nearest whole dollar)for allowance for doubtful accounts under the following assumptions:

1) Allowance for doubtful accounts is estimated based on 12%of accounts receivable

2) Bad debt expense is estimated based on 1% of sales

3) Allowance for doubtful accounts is estimated based on the following aged accounts receivable analysis Estimated percentage uncollectible

Current accounts 8%

0-30 days past due 10%

31-60 days past due 15%

61-90 days past due 20%

Over 90 days past due 50%

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