The Physical Therapy Center specializes in helping patients regain motor skills after serious accidents. The center has the following balances on December 31, 2015, before any adjustments: accounts receivable = $173,700; allowance for uncollectible accounts = $2,250 (debit). The center estimates uncollectible accounts based on an aging of accounts receivable as shown below.

Required:
1. Estimate the amount of uncollectible receivables.
2. Record the adjustment for uncollectible accounts on December 31, 2015.
3. Calculate the net realizable value of accountsreceivable.

Transcribed Image Text:

Amount Receivable Estimated Percent Uncollectible Age Group Not vet due 0-60 days past due 61-120 days past due More than 120 days past due S69,500 56,700 32,400 15,100 $173.700 10% 20% 4500 80% Total