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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
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. Estimated Estimated Uncollectible Accounts Uncollectible Accounts Age Interval Balance Percent Amount Not past due $490,000 3/4% $3,675 1-30 days past due 53,900 3 1,617 31-60 days past due 24,500 9 2,205 61-90 days past due 17,600 17 2,992 91-180 days past due Over 180 days past due 12,700 41 5,207 9,300 80 7,440 Total $608,000 $23,136 Assume that the allowance for doubtful accounts for Outlaw Bike Co. had a debit balance of $4,165 as of December 31.1 Journalize the adjusting entry for uncollectible accounts as of December 31. If an amount box does not require an entry, leave it blank. Date Dec. 31 Account Debit Credit 88 Previous Next
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