Estimating Bad Debts Expense and Reporting Receivables

At December $31,$ Barber Company had a balance of $$420,000$ in its accounts receivable and an unused balance of $$2,600$ in its allowance for uncollectible accounts. The company then aged its accounts as follows.

Current $$346,000$

$160$ days past due $48,000$

$61180$ days past due $17,000$

Over $180$ days past due $9,000$

Total accounts receivable $$420,000$

The company has experienced losses as follows: $1\%$ of current balances, $5\%$ of balances $160$ days past due, $15\%$ of balances $61180$ days past due, and $40\%$ of balances over $180$ days past due. The company continues to base its allowance for uncollectible accounts on this aging analysis and percentages.