At December 31, 2018, the Accounts Receivable balance of Lexington Financial Software is $205,000. The Allowance for Bad Debts account has a $17,380 debit balance. Lexington Financial Software prepares the following aging schedule for its accounts receivable: (Click the icon to view the aging schedule.) Read the requirements Requirement 1. Journalize the year-end adjusting entry for bad debts on the basis of the aging schedule. Show the T-account for the Allowance for Bad Debts at December 31, 2018. Begin by determining the target balance of Allowance for Bad Debts by using the age of each account Age of Accounts 1-30 31-60 61-90 Over 90 Total Days Days Days Days Balance Enter any number in the edit fields and then click Check Answer. Age of Accounts Total Over 90 61-90 31-60 1-30 Balance Days Days Days Days 30.000 S $ 70,000 S 15,000 90,000 Accounts Receivable 48.0 % 10.0 3.0 0.7% % Estimated percent uncollectible Estimated total uncollectible i Data Table - X Age of Accounts 1-30 Days 31-60 Days 61-90 Days Over 90 Days Accounts Receivable 90,000 $ 70,000 $ 15,000 $ 30,000 Estimated percent uncollectible 0.7 % 3.0 % 10.0 % 48.0 % Print Done