Create your own example of how to estimate and record uncollectible accounts using the AGING OF RECEIVABLES METHOD by addressing the following points:
1. Calculate your estimate and include all detail to support your calculation.
2. Assume there is a beginning balance in ALLOWANCE FOR DOUBTFUL ACCOUNTS (you pick the amount and direction of the balance)
3. What account should be DEBITED, and for how much money?
4. What account should be CREDITED, and for how much money?
2.) Read the textbook, lecture notes and all other posts BEFORE you post. Please provide meaningful discussion of your thoughts about the topics we are covering this week by addressing any of the following:
1. Discuss a topic from this week that you find interesting, surprising or challenging, and WHY.
2. Discuss a topic from this week that you think could be performed or implemented at your place of business, and WHY.
3. Discuss any questions or points of confusion you have about the material from this week.
No additional requests my friend. Attached is the book for your refernece. Principles of Accounting, Volume 1: Financial Accounting – OpenStax
Layout for the answers should be in the following format:1) A company had an accounts receivable balance at year-end of $356,750 and splits the past-due account in three categories. Uncollectible percentages and accounts receivable breakdown are as follows:Past-DueAccounts Uncollectible CategoryReceivable TotalPercentageTotal 0-30 days$172,01010%$17,20131-90 days$121,90020%$24,380Over 90 days$ 62,84030%$18,852 Total Estimated Uncollectible: $60,4332) The Bad Debt Expense would be debited for $60,433 3) The Allowance for Doubtful Accounts would be credited for $60,433.