Age of Accounts Balance, June 30 Estimated Percentage Uncollectible1-30 days$130,0002.00%31-60 days70,0005.00%61-90 days32,50020.00%Over 90 days3,00050.00%If the opening balance of Allowance for Doubtful accounts is $7,050, the entries to record estimateduncollectible receivables this year will be:Select one:a. Bad debt expense $7,050Allowance for doubtful accounts $7,050b. Allowance for doubtful accounts $14,100Account receivable $14,100c. Bad debt expense $14,100Allowance for doubtful accounts $14,100d. Account receivable $7,100Bad debt expense $7,100

Formula: Uncollectible Amount = Accounts Balance x Estimated percentage Uncollectible

Answered: Age of Accounts Balance, June 30…

Age of Accounts Balance, June 30 Estimated Percentage Uncollectible 1-30 days $130,000 2.00% 31-60 days 70,000 5.00% 61-90 days 32,500 20.00% Over 90 days 3,000 50.00%

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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