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E8.5 (LO 2) AP Rowen Company has accounts receivable of $241,000 at September 30, 2021. An analymin of the accounts shows the following: Prepare aging
E8.5 (LO 2) AP Rowen Company has accounts receivable of $241,000 at September 30, 2021. An analymin of the accounts shows the following: Prepare aging schedule and record bad debts. Month of Sale Balance September $170,000 August 35.700 July 20,000 April, May, and June 15.300 $241,000 Credit terms are 2/10,n/30. The unadjusted balance in the Allowance for Doubtful Accounts on September 30, 2021, is $1,400 debit. The company uses an aging schedule to estimate uncollectible accounts. The company's percentage estimates of bad debts are as follows: Number of Days Outstanding Estimated % Uncollectible 0-30 31-60 10% 61-90 25% 60% 19 Over 90 Instructions a Prepare an asing schedule to determine the total estimated collectibleserunts at Sentember , 2021 any uses an aging schedule to estimate uncollectible accounts. The company's percentage estimates of bad debts are as follows: Number of Days Outstanding Estimated % Uncollectible 0-30 196 31-60 1096 61-90 Over 90 6096 Instructions a. Prepare an aging schedule to determine the total estimated uncollectible accounts at September 30, 2021 b. What is the carrying amount of the accounts receivable at September 30, 2021? c. Prepare the adjusting entry at September 30 to record bad debt expense. 25%
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