At December 31, Schuler Company had a balance of $375,000 in its Accounts Receivable account and a balance of $4,200 in the Allowance for Doubtful Accounts account.

Aged Accounts Receivable
Current	$304,000
060 days past due	44,000
61180 days past due	18,000
Over 180 days past due	9,000
	$375,000

In the past, the company has experienced credit losses as follows:

	Credit loss %
Current balances	1.0%
060 days past due	5.0%
61180 days past due	15.0%
Over 180 days past due	40.0%

The company bases its allowance for doubtful accounts on an aging analysis of accounts receivable.

a. Determine the amount of the adjustment to record the allowance for doubtful accounts for the year. $Answer

b. Show how Accounts Receivable and the Allowance for Doubtful Accounts would appear on the December 31 balance sheet. Enter all amounts as positive numbers.

AnswerAccounts receivableAllowance for doubtful accountsCurrent AssetsLong-term Assets
AnswerAccounts receivableAllowance for doubtful accountsCurrent AssetsLong-term Assets	Answer
AnswerAccounts receivableAllowance for doubtful accountsCurrent AssetsLong-term Assets	Answer
	Answer