Use the following data to prepare an estimate of bad debts for the Conner Law Firm for December 31, 2016 using the aging method:

Accounts:

0 to 30 days late . . . $60,000

31 to 60 days late. . . $6,000

61 to 90 days late . . . $3,500

Over 90 days late - - - $2,000

Total A/R 12/31/16... $71,500

History has shown that the following percentage of each category turns out to be uncollectible:

0 to 30 days late . . . 1%

31 to 60 days late . . . 5%

61 to 90 days late . . . 30%

Over 90 days late . . . 50%