Question 4 Presented below is an aging schedule for Sheridan Company. Number of Days Past Due Over 1-30 31-60 61-90 90 $10,500 $11,000 Customer Anders Blake Coulson Not Total Yet Due $ 21,500 40,900 $ 40,900 58,300 16,500 34,500 132,600 95,200 $287,800 $152,600 6,500 Deleon $35,300 $34,500 6,600 $35,300 $41,100 Others 16,200 14,600 $25,600 $33,200 3% 6% 13% 25% 41% Estimated Percentage Uncollectible Total Estimated Bad Debts $ 35,574 $ 4,578 $ 1,992 $ 3,328 $ 8,825 $16,851 At December 31, 2019, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $12,500. Journalize the adjusting entry for bad debts at December 31, 2019. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles Debit Credit Post the adjusting entry for bad debts at December 31, 2019. Bad Debt Expense Allowance for Doubtful Accounts Journalize the following events and transactions in the year 2020. (Credit account titles are automatically indented when amount is entered. Do (1) On March 31, a $1,000 customer balance originating in 2019 is judged uncollectible. (2) On May 31, a check for $1,000 is received from the customer whose account was written off as uncollectible on March 31. No. Date Account Titles and Explanation Debit Credit (1) (2) (To reverse write-off) (To record collection of write-off) Post to the allowance account the events and transactions in the year 2020. 12/31/19 Adj. Bad Debt Expense 23,074 23,074 12/31/19 Bal. Allowance for Doubtful Accounts 12/31/19 Bal. 12/31/19 Adj. 12/31/19 Bal. 12,500 23,074 35,574 LINK TO TEXT VIDEO: SIMILAR PROBLEM Journalize the adjusting entry for bad debts on December 31, 2020, assuming that the unadjusted balance in Allowance for Doubtful Accounts is a debit of $850 and the aging schedule indicates that total estimated bad debts will be $29,200. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles Debit Credit