Chapter 8 Augmenti 2 Check my work Innovative Tech Inc. has been using the percentage of credit sales method to estimate bad debt. During November sold services on account for $140,000 and estimated that 3/4 of percent of those sales would be uncollectible Required: 1. Prepare the November adjusting entry for bed debts. 2. Starting in December. I switched using the aging method. Allts December 3 year-end, total Accounts Receivables $86.600 aged as follows: (01-30 days old, 571000:231-90 days old. $12,000, and more than 90 days old, 53.600 The average rate of uncollectibly for each age group is estimated to be 12 percent. (21 24 percent, and (2) 48 percent respectively. Prepare a schedule to estimate an appropriate year end balance for the Allowance for Doubtful Accounts 3. Before the end of year adjusting entry is made the Allowance for Doubtful Accounts as a $400 credit bance at December 31. Prepare the December 3 adjusting entry 4. Show how the various accounts related to accounts receivable should be shown on the December at balance sheet D Complete this question by entering your answers in the tabs below R1 2 Revede Starting in Decembe ched to using the aging method At its December 31 year and total costs 366.000,ged as foliows: (1) 1-3 days, 171,000 (2) 31-0nys old, 512.000 and more than 9 days od 2.600 The average rate of unclett for each age group imated to 14 (1) 13 percen, 2) 24 percent, and ) 48 respectively rare a schedule to ematen propriate your and balance for the Atwatch for Account Show 1-30 31- 1 $ Extended) 2 of 4 Next >