Data Table 2 Solution Age of accounts receivable 0 60 days

Data Table 2%

Solution

Age of accounts receivable 0 - 60 days Over 60 days Total Accounts receivable               65,000                 4,000                      69,000 Estimated percent uncollectible 2% 23% Bad debt Expenses                 1,300                    920                        2,220 Journal entry of bad debt expenses for 2018 Date Account\'s tittle Debit $ Credit $ 2018 31-Dec Bad Debt expenses                 2,220 Allowance for Bad Debts                 2,220 ( To be recorded estimated uncollectible accounts receivable as a bad debt expenses) T-Account Allowance For Bad Debt Account\'s tittle Debit $ Account\'s tittle Credit $ 2018 1-January, Beginning Balance            1,286 31-December, 31-December; Bad Debt Expenses            2,220 Ending Balance              3,506 TOTAL              3,506 TOTAL            3,506