Glencoe Supply had the following accounts receivable aging schedule at the end of a recent year.

The balance in Glencoe’s allowance for doubtful accounts at the beginning of the year was $49,620 (credit). During the year, accounts in the total amount of $51,232 were written off.

Required:
1. Determine bad debt expense.
2. Prepare the journal entry to record bad debtexpense.

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Accounts Proportion Expected to Default 0.004 0.02 0.08 0.20 0.25 0.60 Allowance Receivable Age Amount Required $ 1,242 Current 1-30 days past due 31-45 days past due 46-90 days past due 91-135 days past due Over 135 days past due $310,500 47,500 25,000 12,800 6,100 4,200 2,000 2,560 1,525 2,520 $10,797