d. Increase The following aging of accounts receivable is as of the end of the...
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d. Increase The following aging of accounts receivable is as of the end of the year: Customer Overall amount Less than 30 days 31-60 days 61-90 days Over 90 days A $10,000 $8,000 $1,000 $1,000 B 40,000 31,000 $4,000 5,000 12,000 3,000 4,000 2.000 3,000 D 60,000 50,000 10,000 E 16,000 10,000 6,000 F 25,000 20,000 5,000 Total $163,000 $122,000 $24,000 $8,000 $9,000 Historical experience indicates the following: Age of Account Less than 30 days Percentage Ultimately Uncollectible 2% 31 to 60 days 10% 61 to 90 days 30% Over 90 days 75% 1) Compute the appropriate amount of Allowance for Bad Debts as of the end of the year. 13990 Assuming that the allowance for uncollectible account had a credit balance of $1,500 at the beginning of the year, what is the adjustment needed at the end of the year? 15490 2) 3) Assuming that the allowance for uncollectible account had a credit balance of $1.500 at the beginning of the year, then $2,000 of receivables were written-off during the year, what is the adjustment needed at the end of the year? 17490
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