At December 31, 2014, assume that one of Hewlett-Packard's subsidiary companies had a balance of $770,000 in its Accounts Receivable account and a balance of $7,000 in its Allowance for Uncollectible Accounts. The company then analyzed and aged its accounts receivable as shown below. Assume that the subsidiary experienced past losses as follows: 1% of current balances, 5% of a balances 1-60 days past due, 15% of balances 61-180 days past due, and 40% of balances over 180 days past due. The company bases its provision for credit losses on the aging analysis. Current $468,000 1-60 days past due 244,000 61-180 days past due 38,000 Over 180 days past due 20,000 Total accounts receivable $770,000 What amount of uncollectible accounts (bad debts) expense will the HP subsidiary report in it 2014 income statement? Show how Accounts Receivable and the Allowance for Uncollectible Accounts appear in its December 31, 2014, balance sheet. Assume that the HP subsidiary's allowance for uncollectible accounts has maintained historical average of 2% of gross accounts receivable. How do you interpret the current allowable percentage