LO E5-45. Estimating Bad Debts Expense and Reporting Receivables At December 31, Barber Company had a balance of $420,000 in its accounts receivable and an unused bal- ance of $2,600 in its allowance for uncollectible accounts. The company then aged its accounts as follows. Current. 1-60 days past due 61-180 days past due Over 180 days past due Total accounts receivable. $346,000 48,000 17.000 9,000 $420,000 The company has experienced losses as follows: 1% of current balances, 5% of balances 1-60 days past due, 15% of balances 61-180 days past due, and 40% of balances over 180 days past due. The company continues to base its allowance for uncollectible accounts on this aging analysis and percentages, a. What amount of bad debts expense does Barber report on its income statement for the year? b. Show how Barber's December 31 balance sheet will report the accounts receivable and the allow- ance for uncollectible accounts