Jones Garment Company had sales for 2019 of $32,500,000 it sells everything on credit to retailors.

On 12/31/20 they had accounts receivables $5,500,000. And had $20,000 in its allowance for account losses. Jones wants to reserve one tenth of a percent of sales in its allowance. (.001)

Same as above but they want reserve one half of a percent of receivables as an allowance (.005)

The Company hires a new controller and she decides to us the aging method.

The above receivables are aged as following $3,000,000 zero to 30 days reserve a quarter of a percent 0025

$2,000,000 30-60 reserve .75% .0075

$500,000 60-90 reserve 2% .02