The Lake Lucerne Company uses the allowance method of estimating bad debts expense. An aging schedule is prepared in order to calculate the balance in the allowance account.

The percentage uncollectible is calculated as follows:

1-30 Days 1%

31-60 Days 3%

61-90 Days 6%

91-365 Days 60%

After 365 days, the account is written off.

transactions:

1. Sales revenue on account, $112,800 (ignore Cost of Goods Sold).

2. Collections on account, $91,785

3. Write-offs of uncollectibles, $670.

4. The Company accepted a 90-day, 9%, $14,000 note receivable from a customer in exchange for his account receivable.

*(Journalize the issuance of the note)

*(Journalize the collection of the principal and interest at maturity. (use 360 days)

5. Bad debts expense of $?? was recorded.(Refer to requirement, ** Journalize the adjusting entry for Bad Debts Expense).

Use the following table for your calculations Uncollectible Minimum Days 1 31 61 Maximum Days 30 50 90 3% 6% 60% Requirement 1 Calculate the number of days each receivable is outstanding. See hints below Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the instructions tab, you will be marked wrong. Enter all amounts as positive values. Do not use a minus sign or parentheses for any values.) DATA Uncollectible % Customer Name Bonneville Chinook Ouwamish Foss Nisqually Warren Amount $ 900 $ 1 100 $ 500 $ 350 $ 3245 S Today's Date 7/3124 73124 7/8124 23:24 2/3124 2317 Days Invoice Date Outstanding 528/2024 628/2024 7/15/2024 45.2024 6/15/2024 5.12.2024 Requirement 2 Complete the Schedule of Accounts Receivable. See hints below. Use=SUMO for totals. Complete all blue highlighted cells. Always use cell references and formulas where appropriate to receive full credit. if you copy/paste from the instructions tab, you will be marked wrong. Enter all amounts as positive values. Do not use a minus sien or parentheses for any values.) Schedule of Accounts Receivable 1.30 Days 31-60 Days 61-90 Days 91-365 Days Total Balance Customer Name Bonneville Chincok Duwamish Foss Nisqually Worden Total Estimated uncollectible Estimated total uncollectible Balances on July 31, 2024 F Accounts Receivable 6,345 Allowance for Bad Debts 65 1651 Requirement 3 Journalize the adjusting entry for Bad Debts Expense. Always use cell references and formulas where appropriate to receive full credit you copy/paste from the instructions tab, you will be marked wrong. Enter all amounts as positive values. Do not use a moussesor parentheses for any values.) Account/Explanation Debit Credit