Aging of account receivable. Dove company's accounts receivable show the following balance by ages:

The credit balance in the Allowance for Uncollectible Accounts is now $17,200. Dove Company's analyses of its collection experience suggest that Dove should use the following percentages to compute the estimates of amounts that will eventually prove uncollectible: 0-30 days, half of 1 .0%; 31-60 days. 1.0%; 61-120 days, 10%; and more than 120 days, 70%. Prepare the journal entry to record Dove's bad debt expense.

Transcribed Image Text:

Age of Accounts Not yet due 0-30 Days 31-60 Days 61-120 Days More than 120 Days Balance Receivable $1,200,000 400,000 90,000 40,000 20,000