On December 31, 2021, Johnson Corp. had a $500 credit balance in its allowance for...
60.1K
Verified Solution
Link Copied!
Question
Accounting
On December 31, 2021, Johnson Corp. had a $500 credit balance in its allowance for doubtful accounts before recording bad debt expense for the year. Accounts receivable had a $250,000 balance with an aging schedule as follows:
Estimated Percentage
Uncollectible
Outstanding 1-30 days $190,000 1%
Outstanding 31-60 days 30,000 2%
Outstanding 6190 days 10,000 7%
Outstanding more than 90 days 20,000 15%
Total Accounts Receivable $250,000
What is bad debt expense for the year using the aging of accounts receivable method?
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
