Entry for uncollectible accounts

Outlaw Bike Co$.$ is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December $31$ and a historical analysis of the percentage of uncollectible accounts in each age category are given below.

Age Interval Balance Estimated

Uncollectible Accounts

Percent Estimated

Uncollectible Accounts

Amount

Not past due $$510,0003/4\%$ $$3,825$

$1-30$ days past due $56,10042,244$

$31-60$ days past due $25,50082,040$

$61-90$ days past due $18,400183,312$

$91-180$ days past due $13,300385,054$

Over $180$ days past due $9,700706,790$

Total $$633,000$ $$23,265$

Assume that the allowance for doubtful accounts for Outlaw Bike Co$.$ had a debit balance of $$4,190$ as of December $31.$

Journalize the adjusting entry for uncollectible accounts as of December $31.$ If an amount box does not require an entry, leave it blank.

DateAccountDebitCredit

Dec. $31$

Bad Debt Expense

Allowance for Doubtful Accounts