eBook Show Me How Analysis of Receivables Method At the end of the current year, Accounts Receivable has a balance of $420,000; Allowance for Doubtful Accounts has a debit balance of $4,000; the year total $1,890,000. Using the aging method, the balance of Allowance for Doubtful Accounts is estimated as $17,200. a. Determine the amount of the adjusting entry for uncollectible accounts. 21,200 b. Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense. Accounts Receivable Allowance for Doubtful Accounts Bad Debt Expense 420,000 17,200 4,000 X c. Determine the net realizable value of accounts receivable. $ 398,800 Fendback Check My Work The analysis of receivables method is based on the assumption that the longer an account receivable is outstanding the less likely that it will be collected. The amount of the adjusting entry is the amount that will yield an adjusted balance for Allowance for Doubtful Accounts. Cherty Work NICK