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Covington Ltd. prepares an aging schedule for its accounts receivable at the end of each month and records bad deb expense monthly. The following selected
Covington Ltd. prepares an aging schedule for its accounts receivable at the end of each month and records bad deb expense monthly. The following selected information is from Covington's partial aging schedule at the end of July: Number of Days Outstanding 0-30 days 31-60 days 61-90 days Over 90 days Total Accounts Estimated Percentage Uncollectible 2% 6% 11% 21% Receivable $760,000 367,000 117,000 81,000 $1,325,000 The unadjusted balance in Allowance for Doubtful Accounts is a credit of $11,820 Complete the aging schedule and calculate the total estimated uncollectible accounts from the above information Estimated Percentage Uncollectible Estimated Uncollectible Accounts Number of Days Accounts Receivable Outstanding 0-30 days 31-60 days 61-90 days Over 90 days Total $760,000 367,000 117,000 81,000 $1,325,000 2% 6% 11% 2196
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