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Indigo Corporation has accounts receivable of $92.100 at March 31, 2022. Credit terms are 2/10, n/30. At March 31, 2022, there is a $2,081 credit
Indigo Corporation has accounts receivable of $92.100 at March 31, 2022. Credit terms are 2/10, n/30. At March 31, 2022, there is a $2,081 credit balance in Allowance for Doubtful Accounts prior to adjustment. The company uses the percentage of receivables basis for estimating uncollectible accounts. The company's estimates of uncollectibles are as shown below. Balance, March 31 Estimated Percentage Age of Accounts 2022 2021 Uncollectible Current $63,500 $80.330 2 % 1-30 days past due 11,700 7,610 5 31-90 days past due 10,300 2,480 30 Over 90 days past due 6,600 1,030 50 $92.100 $91,450 (a) Your answer is correct. Determine the total estimated uncollectibles at March 31, 2022. The total estimated uncollectibles $ 8245 (b) eTextbook and Media Solution List of Accounts Attempts: unlimited Prepare the adjusting entry at March 31, 2022, to record bad debt expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts) Account Titles and Explanation Debit Credit
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