The accounts receivable listing of Rogers Corporation shows the following on December 31, 2016. The general ledger showed a $150 credit balance in Allowance for doubtful accounts before adjustment.

Name of customer Invoice date Amount

Diamonds Inc. April 1, 2016 $550

Seeter Corporation July 14, 2016 400

Summer Corporation october 1, 2016 625

Gainer Inc. December 12, 2016 175

Pebbles Inc. August 5, 2016 480

Tinker Corporation November 15, 2016 700

Hearts Inc. November 18, 2016 225

Shiftell Inc. September 2, 2016 765

Shiftell Inc. July 6, 2016 860

Seeter Corporation December 10, 2016 450

Required:

1. Prepare an aging of accounts receivable at December 31, 2016.

2. Compute estimated loss based on the following:

Age (days) Estimated Loss percentage

1-30 2%

31-60 3%

61-90 5%

91-120 10%

121-150 25%

Over 150 50%

3. Prepare journal entry to record the bad debt expense for the year.