Perry Materials Supply uses the aging method to account for uncollectible accounts. At the end of the year, the balance in Accounts receivable was $150,000 and Perry prepared the following aging schedule.

Customer	1-30 days	31-60 days	61-90 days	Over 90 days	Total Balance
Johnson	$4,600	$3,200			$7,800
Hot Pots, Inc.			$ 800	$1,000	1,800
Potter	40,000	550			40,550
Harrison		3,600	900		4,500
Marx			2,000	50	2,050
Younger	65,000				65,000
Merry Maids	9,900				9,900
Archer	12,000	6,400			18,400
Total	$131,500	$13,750	$3,700	$1,050	$ 150,000
Uncollectible percentage
Estimated uncollectible amount

Based on history, Perry uses 2% for current receivables (1-30 days), 10% for 31-60 days, 20% for 61-90 days, and 50% for over 90 days. Please complete the schedule and calculate the estimated amount of uncollectible accounts.

Assume that at the end of the year there was a balance of $1,000 in the Allowance for doubtful accounts. Prepare the adjusting journal entry to estimated bad debt expense for the year using the aging of accounts receivable method, update the Accounts Receivable T-accounts and determine net receivables using the journal, t-accounts, and partial balance Sheet given to you below.

General Journal
Date 2020		Account Titles and Explanations	Post. Ref.	Debit	Credit

Accounts Receivable

Allowance for Doubtful Accounts

Balance Sheet (partial)