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Erickson Company had net credit sales of $3,000,000 and a $300 credit balance in Allowance for Doubtful Accounts at December 31, 2017, before the current
Erickson Company had net credit sales of $3,000,000 and a $300 credit balance in Allowance for Doubtful Accounts at December 31, 2017, before the current year's provision for uncollectible accounts. An aging of the accounts receivable revealed the following Estimated Percentage Uncollectible Current Accounts $170,000 1% 15.000 3% 1-30 days past due 31-60 days past due 12.000 6% 61-90 days past due 5.000 15% Over 90 days past due 9.000 30% Total Accounts Receivable $211.000 Instructions (You must show work to receive any partial credit): a. What is Erickson Company's bad debt expense for 2017? b. What is the December 31, 2017 net cash value of Erickson Company's Accounts Receivable account? c. On February 2, 2018, company management authorized a $1,000 write-off of Mr. Jones' account. How will this affect Erickson Company's 2018 net income
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