Daly Company estimates uncollectible accounts using the allowance method at December 31. It prepared the following aging of receivables analysis.

Days Past Due

Total

0

1 to 30

31 to 60

61 to 90

Over 90

Accounts receivable

$

645,000

$

411,000

$

105,000

$

51,000

$

33,000

$

45,000

Percent uncollectible

1

%

2

%

5

%

7

%

10

%

a.

Complete the below table to calculate the estimated balance of Allowance for Doubtful Accounts using the aging of accounts receivable method.

	Accounts Receivable		Percent Uncollectible (%)
Not due:		x		=
1 to 30:		x		=
31 to 60:		x		=
61 to 90:		x		=
Over 90:		x		=
Estimated balance of allowance for uncollectibles

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 $5,100 credit and $1,600 debit.

Date	General Journal	Debit	Credit
Dec 31