At December 31, 2024, the Accounts Receivable balance of GPS Technology is $200,000. The Allowance for...

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At December 31, 2024, the Accounts Receivable balance of GPS Technology is $200,000. The Allowance for Bad Debts account has a $24,110 debit balance. GPS Technology prepares the following aging schedule for its accounts receivable: (Click the icon to view the aging schedule.) Read the requirements. Requirement 1. Journalize the year-end adjusting entry for bad debts on the basis of the aging schedule. Show the T-account for the Allowance for Bad Debts at December 31, 2024. Begin by determining the target balance of Allowance for Bad Debts by using the age of each account. Age of Accounts Data table 1-30 Days 31-60 61-90 Days Days Over 90 Days Total Balance Accounts Receivable $ 65,000 $ 50,000 $ 40,000 $ 45,000 0.4 3.0 5.0 48.0 Estimated percent uncollectible % % % % Estimated total uncollectible Age of Accounts 61-90 Days Accounts Receivable $ Estimated percent uncollectible 1-30 Days 65,000 $ 0.4% 31-60 Days 50,000 $ 3.0% Requirements Print Done Over 90 Days 40,000 $ 45,000 5.0% 48.0% 1. Journalize the year-end adjusting entry for bad debts on the basis of the aging schedule. Show the T-account for the Allowance for Bad Debts at December 31, 2024. 2. Show how GPS Technology will report its net accounts receivable on its December 31, 2024, balance sheet. Print Done At December 31, 2024, the Accounts Receivable balance of GPS Technology is $200,000. The Allowance for Bad Debts account has a $24,110 debit balance. GPS Technology prepares the following aging schedule for its accounts receivable: (Click the icon to view the aging schedule.) Read the requirements. Requirement 1. Journalize the year-end adjusting entry for bad debts on the basis of the aging schedule. Show the T-account for the Allowance for Bad Debts at December 31, 2024. Begin by determining the target balance of Allowance for Bad Debts by using the age of each account. Age of Accounts Data table 1-30 Days 31-60 61-90 Days Days Over 90 Days Total Balance Accounts Receivable $ 65,000 $ 50,000 $ 40,000 $ 45,000 0.4 3.0 5.0 48.0 Estimated percent uncollectible % % % % Estimated total uncollectible Age of Accounts 61-90 Days Accounts Receivable $ Estimated percent uncollectible 1-30 Days 65,000 $ 0.4% 31-60 Days 50,000 $ 3.0% Requirements Print Done Over 90 Days 40,000 $ 45,000 5.0% 48.0% 1. Journalize the year-end adjusting entry for bad debts on the basis of the aging schedule. Show the T-account for the Allowance for Bad Debts at December 31, 2024. 2. Show how GPS Technology will report its net accounts receivable on its December 31, 2024, balance sheet. Print Done

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