Estimating Bad Debts Expense and Reporting Receivables At December 31, Barber Company had a balance of...

Transcribed Image Text:

Estimating Bad Debts Expense and Reporting Receivables At December 31, Barber Company had a balance of $336,000 in its accounts rece follows. Current $276,800 1-60 days past due 38,400 61-180 days past due 13,600 Over 180 days past due 7,200 Total accounts receivable $336,000 The company has experienced losses as follows: 1% of current balances, 5% of bala continues to base its allowance for uncollectible accounts on this aging analysis and a. What amount of bad debts expense does Barber report on its income statement f b. Show how Barber's December 31 balance sheet will report the accounts receivable Note: Round your answers to the nearest whole dollar. Note: Do not use a negative sign with your answers. Current Assets Accounts receivable Less allowance for uncollectible accounts $ Estimating Bad Debts Expense and Reporting Receivables At December 31, Barber Company had a balance of $336,000 in its accounts rece follows. Current $276,800 1-60 days past due 38,400 61-180 days past due 13,600 Over 180 days past due 7,200 Total accounts receivable $336,000 The company has experienced losses as follows: 1% of current balances, 5% of bala continues to base its allowance for uncollectible accounts on this aging analysis and a. What amount of bad debts expense does Barber report on its income statement f b. Show how Barber's December 31 balance sheet will report the accounts receivable Note: Round your answers to the nearest whole dollar. Note: Do not use a negative sign with your answers. Current Assets Accounts receivable Less allowance for uncollectible accounts $