Required information Use the following information for the Exercises 13-14 below. (Static) [The following information applies to the questions displayed below.] Daley Company prepared the following aging of receivables analysis at December 31. Total 0 1 to 30 Accounts receivable Percent uncollectible $ 570,000 $ 396,000 $ 90,000 Days Past Due 31 to 60 $ 36,000 61 to 90 $ 18,000 Over 90 $ 30,000 1% 28 5% 7% 10% Exercise 7-14 (Static) Percent of receivables method LO P3 a. Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4.5% of total accounts receivable to estimate uncollectibles, instead of the aging of receivables method. b. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,000 credit. c. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $1,000 debit. Complete this question by entering your answers in the tabs below. Req A Req B and C Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4.5% of total accounts receivable to estimate uncollectibles, instead of the aging of receivables method. Estimated balance of allowance for uncollectibles < Req A Req B and C > Required information Use the following information for the Exercises 13-14 below. (Static) [The following information applies to the questions displayed below.] Daley Company prepared the following aging of receivables analysis at December 31. Days Past Due Accounts receivable Total $570,000 0 1 to 30 31 to 60 $ 396,000 $ 90,000 $ 36,000 61 to 90 $ 18,000 Over 90 Percent uncollectible 18 28 58 78 $ 30,000 10% Exercise 7-14 (Static) Percent of receivables method LO P3 a. Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4.5% of total accounts receivable to estimate uncollectibles, instead of the aging of receivables method. b. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,000 credit. c. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $1,000 debit. Complete this question by entering your answers in the tabs below. Req A Req B and C b. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,000 credit. c. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $1,000 debit. View transaction list Journal entry worksheet 2 Record estimated bad debts assuming that Allowance for Doubtful Accounts has a $12,000 credit balance. Note: Enter debits before credits. General Journal Debit Credit Date December 31 Record entry Clear entry View general journal < Req A Req B and C Show less