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Estimating Doubtful Accounts Outlaw Bike Co. is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December 31, and a historical
Estimating Doubtful 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 as follows: Age Class Balance Percent Uncollectible Not past due $892,000 3/4 % 1-30 days past due 285,000 31-60 days past due 101,000 61-90 days past due 63,000 91-180 days past due 43,100 Over 180 days past due 17,700 $1,401,800 Estimate what the proper balance of the allowance for doubtful accounts should be as of December 31. Percent Estimated Uncollectible Age Class Balance Uncollectible Accounts Amount Not past due $892,000 3/4% 1-30 days past due 285,000 31-60 days past due 101,000 61-90 days past due 63,000 91-180 days past due 43,100 Over 180 days past due $1,401,800 Check My Workeses remaining
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