Presented below is an aging schedule for Bosworth Company.

At December 31, 2013, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $8,000.

Instructions
(a) Journalize and post the adjusting entry for bad debts at December 31, 2013. (Use T-accounts.)
(b) Journalize and post to the allowance account these 2014 events and transactions:
1. March 1, a $600 customer balance originating in 2013 is judged uncollectible.
2. May 1, a check for $600 is received from the customer whose account was written off as uncollectible on March 1.
(c) Journalize the adjusting entry for bad debts at December 31, 2014, assuming that the unadjusted balance in Allowance for Doubtful Accounts is a debit of $1,400 and the aging schedule indicates that total estimated bad debts will be$36,700.

Transcribed Image Text:

Not Yet Number of Days Past Due Total Due 24,000 30,000 S 30,000 50,000 38,000 120,00072,000 35,000 13,000 Customer 1-30 31-60 61-90 Over 90 Aneesh Bird Cope DeSpears Others S 9,000 $15,000 5,000 5,000 $40,000 $38,000 $262,000 | $107,000 | $49,000 $28,000 | $40,000 | $38,000 Estimated percentage uncollectible 3% 7% 12% 24% 60% Total estimated bad debts 42,400 3,210 3,430 3,360 9,600 $22,800