At December 31 2014 before any year end adjustments the Accounts
At December 31, 2014, before any year-end adjustments, the Accounts Receivable balance of Wynn Electronics is $360,000. The Allowance for Doubtful Accounts has a $22,500 credit balance. Wynn Electronics prepares the following aging schedule for Accounts Receivable:

1. Based on the aging of Accounts Receivable, is the unadjusted balance of the allowance account adequate? Too high? Too low?
2. Make the entry required by the aging schedule. Prepare a T-account for the allowance.
3. Show how Wynn Electronics will report Accounts Receivable on its December 31 balancesheet.
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