es David Company uses the aging method to adjust the allowance for uncollectible accounts at the...

 

Transcribed Image Text:

es David Company uses the aging method to adjust the allowance for uncollectible accounts at the end of the period. On December 31, 20XX, the balance of accounts receivable is $215,000, and the allowance for uncollectible accounts has a credit balance of $2,500 (before adjustment). An analysis of accounts receivable produced the following age groups: View the accounts receivable aging information. Based on past experience, David estimates the percentages of accounts that will prove to be uncollectible within the three groups are 5%, 12%, and 25%, respectively. Based on these facts, the adjusting entry for bad debt expense should be made in the amount of Accounts receivable aging information Current. 100,000 60 days past due. 105,400 9,600 Over 60 days past due 215,000 Total. Done Next es David Company uses the aging method to adjust the allowance for uncollectible accounts at the end of the period. On December 31, 20XX, the balance of accounts receivable is $215,000, and the allowance for uncollectible accounts has a credit balance of $2,500 (before adjustment). An analysis of accounts receivable produced the following age groups: View the accounts receivable aging information. Based on past experience, David estimates the percentages of accounts that will prove to be uncollectible within the three groups are 5%, 12%, and 25%, respectively. Based on these facts, the adjusting entry for bad debt expense should be made in the amount of Accounts receivable aging information Current. 100,000 60 days past due. 105,400 9,600 Over 60 days past due 215,000 Total. Done Next