Chapter 8 Homework (Application) Estimating Doubtful Accounts Outlaw Bike Co. is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December 31, and a historical analysis of the percentage of uncollectible accounts in each age category are as follows: Age Class Balance Percent Uncollectible 1 8 Not past due 1-30 days past due 31-60 days past due 61-90 days past due 91-180 days past due Over 180 days past due $892,000 285,000 101,000 63,000 43,100 17,700 $1,401,800 16 50 80 Estimate what the proper balance of the allowance for doubtful accounts should be as of December 31 Percent Estimated Uncollectible Uncollectible Accounts Amount $892,000 Age Class Balance Not past due 3/4% 285,000 1 8 1-30 days past due 31-60 days past due 61-90 days past due 91-180 days past due Over 180 days past due 101,000 63,000 16 43,100 50 80 17,700 $1,401,800 Total