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Daley Company prepared the following aging of receivables analysis at December 31. Days Past Due Total $590,000 Accounts receivable Percent uncollectible $400,000 2x 1 to
Daley Company prepared the following aging of receivables analysis at December 31. Days Past Due Total $590,000 Accounts receivable Percent uncollectible $400,000 2x 1 to 30 $94,808 3% 31 to be $4e, eee 61 to 90 $22,00 8X Over 90 $34,800 11% a. Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4% of total accounts receivable to estimate uncollectibles. Instead of the aging of recelvables method. b. Prepare the adjusting entry to record Bad Debts Expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,400 credit c. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $1.400 debit. Complete this question by entering your answers in the tabs below. Reg A Reg B and C Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4% of total accounts receivable to estimate uncollectibles, instead of the aging of receivables method Estimated balance of inlowance for uncollectibles credit
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