ZING, Inc uses the aging method to estimate its bad debts The information below has been collected regarding the companys outstanding customer accounts and their probability of collection Account Age Probability of Non Collection Amount Owed 0 30 days 0 3 $1,089,000 31 60 days 1 0 411,500 61 90 days 1 5 256,600 91 120 days 3 0 151,000 Over 120 days 15 0 58,000 The balance in ZINGs Allowance for Uncollectible Accounts account at year end before adjusting for a bad debt estimate is $600 Calculate the bad debt expense for ZING, Inc for the current year

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Question: ZING, Inc. uses the aging method to estimate its bad debts. The information below has been collected regarding the companys outstanding customer accounts and their

ZING, Inc. uses the aging method to estimate its bad debts. The information below has been collected regarding the companys outstanding customer accounts and their probability of collection:

Account Age	Probability of Non-Collection	Amount Owed
0-30 days	0.3%	$1,089,000
31-60 days	1.0%	411,500
61-90 days	1.5%	256,600
91-120 days	3.0%	151,000
Over 120 days	15.0%	58,000

The balance in ZINGs Allowance for Uncollectible Accounts account at year end before adjusting for a bad debt estimate is $600. Calculate the bad debt expense for ZING, Inc. for the current year.

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