Problem (4) 15 Points

The following summarizes the aging of accounts receivable for BSN Sports, Inc. as of July 31, 2019:

Number of Days Unpaid Not yet due 1-30 days past due 31-60 days past due Over 60 days past due

Total Accounts Receivable

Historical % Uncollectible

2% 12% 18% 35%

$

126,500 89,200 53,600 31,800

Required (Show detailed Calculations/T-account to get full mark):

(A) The unadjusted balance of the Allowance for Doubtful Accounts of BSN Sports, Inc. is a credit balance in the amount of $29,012 on July 31, 2019. Prepare the required entry to record Bad Debt Expense for the year.

(B) BSN Sports, Inc. writes off $3,012 of uncollectible accounts on August 13, 2019. Prepare the required entry to record the write-off.

(C) Use a T-account to determine the account balance (ending balance) in the Allowance for Doubtful Accounts on August 15, 2019.