Domino Company uses the aging of accounts receivable method to estimate uncollectible accounts expense. Domino began Year 2 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $44,390 and $3,470, respectively. During the year, the company wrote off $2,640 in uncollectible accounts. In preparation for the company's Year 2 estimate, Domino prepared the following aging schedule: Percentage TIT Number of Days Receivables Likely to Be Past Due Amount Uncollectible Current $ 71,000 18 0 to 30 27,000 6,860 3,520 58 31 to 60 10% 61 to 90 25% Over 90 3,200 50% Total $111,580 What will Domino record as Uncollectible Accounts Expense for Year 2?

Domino Company uses the aging of accounts receivable method to estimate uncollectible accounts expense. Domino began Year 2 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $44,390 and $3,470, respectively. During the year, the company wrote off $2,640 in uncollectible accounts. In preparation for the company's Year 2 estimate, Domino prepared the following aging schedule: Percentage TIT Number of Days Receivables Likely to Be Past Due Amount Uncollectible Current $ 71,000 18 0 to 30 27,000 6,860 3,520 58 31 to 60 10% 61 to 90 25% Over 90 3,200 50% Total $111,580 What will Domino record as Uncollectible Accounts Expense for Year 2?

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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