The Chowdhury Landscaping Company uses the balance sheet method to determine bad debts. The ageing schedule at December $31,2015$ is:

$\backslash$table$[[,$Number of Days Outstanding,Total$],[0-30,31-60,61-90,90-120,>120,,,],[$Accounts Receivable,$20,000,5,000,6,000,2,500,6,000,39,500,,],[$Estimated $\%$ Uncollectible,$2\%,3\%,6\%,12\%,25\%,,,],[$Estimated Bad Debts,,,,,,,,$]]$

a$.$ Calculate the total estimated bad debts.

b$.$ If the balance in the Allowance for Doubtful Accounts account is $$2,000,$ record the journal entry to adjust for the bad debts at December $31,2015.$

AGEING FOR QUESTION $5$

Sheet$3$

igate

Atrer several attempts to collect tne money owed to tnem, II

Limited will not pay the $$4000$ they owe. At this time, Tillera with the journal entry:

itent $2$

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