Hunter, Inc. analyzed its accounts receivable balances at December $31,$ and arrived at the aged balances listed below, along with the percentage that is estimated to be uncollectible:

$\%$ Considered Age Group Balance Uncollectible $0-30$ days past due $$90,0001\%31-60$ days past due $20,0002\%61-120$ days past due $11,0005\%121-180$ days past due $6,00010\%$ Over $180$ days past due $4,00025\%$ $$131,000$

The company handles credit losses using the allowance method.

The credit balance of the Allowance for Doubtful Accounts is $$520$ on December $31,$ before any adjustments.

a$.$ Determine the amount of the adjustment for estimated credit losses on December $31.$

Answer rating: 100% (QA)

To determine the amount of the adjustment for estimated credit losses on December 31 we need to calc... View the full answer