Using the data in Exercise 8-11, assume that the allowance for doubtful accounts for Traditional Bikes Co. had a debit balance of $3,375 as of December 31, 2014.

In Exercise 8-11, Traditional Bikes Co. is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December 31, 2014, and a historical analysis of the percentage of uncollectible accounts in each age category are as follows:

Journalize the adjusting entry for uncollectible accounts as of December 31,2014.

Percent Age Interval Not past due 1-30 days past due 31-60 days past due 61-90 days past due 91-180 days past due Over 180 days past due Balance Uncollectible 740,000 390,000 85,000 28,000 42,000 15,000 1,300,000 32