Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Estimating Doubtful Accounts Easy Rider International is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December 31, 2013, and a

image text in transcribed
image text in transcribed
Estimating Doubtful Accounts Easy Rider International is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December 31, 2013, and a historical of the percentage of uncollectible accounts in each age category are as follows: Percent Uncollectible Age Interval Not past due Balance $353,800 2 % 1-30 days past due 131,900 5 45 31-60 days past due 54,000 20 61-90 days past due 30,000 30 91-180 days past due 30,000 Over 180 days past due 18,900 65 $618,600 Estimate what the balance of the allowance for doubtful accounts should be as of December 31, 2013. Enter your answers as positive amounts. Estimated Uncollectible Age Interval Amount Not past due 1-30 days past due U uys past due 54,000 20 61-90 days past due 30,000 30 91-180 days past due Over 180 days past due 30,000 45 18,900 65 $618,600 Estimate what the balance of the allowance for doubtful accounts should be as of December 31, 2013. Enter your answers as positive amounts. Estimated Uncollectible Age Interval Amount Not past due 1-30 days past due 31-60 days past due 61-90 days past due 91-180 days past due Over 180 days past due Total

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions