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Sunland Company has accounts receivable of $100,300 at March 31, 2025. Credit terms are 2/10, n/30. At March 31, 2025, there is a $2,000 credit
Sunland Company has accounts receivable of $100,300 at March 31, 2025. Credit terms are 2/10, n/30. At March 31, 2025, there is a $2,000 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. Age of Accounts Current 1-30 days past due 31-90 days past due Over 90 days past due (a) Balance, March 31 2025 $71,300 11,800 9,100 8,100 $100,300 Total estimated uncollectibles 2024 $ $82,260 8,230 2,250 1,100 $93,840 Estimated Percentage Determine the total estimated uncollectibles at March 31, 2025. Uncollectible 2 % 5 27 53
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