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Ivanhoe Company has accounts receivable of $97,500 at March 31, 2022. Credit terms are 2/10, n/30. At March 31, 2022, there is a $1,934
Ivanhoe Company has accounts receivable of $97,500 at March 31, 2022. Credit terms are 2/10, n/30. At March 31, 2022, there is a $1,934 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 bad debts are as shown below. Balance, March 31 Age of Accounts Current 2022 2021 Estimated Percentage Uncollectible $68,600 $72,100 2 % 1-30 days past due 12.600 8,420 5 31-90 days past due 9.200 2,510 31 Over 90 days past due 7.100 1,110 46 $97.500 $84,140
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