Question
Daley Company prepared the following aging of receivables analysis at December 31. Days Past Due Total 0 1 to 30 31 to 60 61 to
Daley Company prepared the following aging of receivables analysis at December 31.
Days Past Due | |||||||||||||||||||||||
Total | 0 | 1 to 30 | 31 to 60 | 61 to 90 | Over 90 | ||||||||||||||||||
Accounts receivable | $ | 595,000 | $ | 401,000 | $ | 95,000 | $ | 41,000 | $ | 23,000 | $ | 35,000 | |||||||||||
Percent uncollectible | 3 | % | 4 | % | 7 | % | 9 | % | 12 | % | |||||||||||||
a. Complete the below table to calculate the estimated balance of Allowance for Doubtful Accounts using aging of accounts receivable. 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 $4,100 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 $600 debit.
Complete this question by entering your answers in the tabs below.
- Req A
- Req B and C
Complete the below table to calculate the estimated balance of Allowance for Doubtful Accounts using aging of accounts receivable.
|
- Req A
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started