Heller Corporation has aged its accounts receivable and estimated uncollectible accounts as follows (in millions):

Age of Receivables	Balance	Estimated % uncollectible
Current	$13,000	2%
30-60 days past due	3,400	3%
61-90 days past due	2,700	5%
Over 90 days past due	1,840	11%
Total	$20,940

You need to:

1. Determine the appropriate allowance for uncollectible accounts.

2. How will Heller Corporation report its accounts receivable on the balance sheet?

3. List everything that would happen if the company increased its estimate of % uncollectible for the over 90 days past due receivables to 12%.

4. Ignoring #3 (the change in uncollectible estimate) and assuming that the A/R has already been reported as in #2, list what would happen if the company learned that a customer owing $100 in the over 90 days past due receivables has filed for bankruptcy, and the Heller will be unable to collect the receivable.