Presented
below is an aging schedule for Bosworth Company.
P8-3A
Presented below is an aging schedule
for Bosworth Company.
|
Customer
|
Total
|
Not Yet Due
|
Number of Days Past Due
|
|||||||||
|
1–30
|
31–60
|
61–90
|
Over 90
|
|||||||||
|
Aneesh
|
$ 26,000
|
$ 11,000
|
$15,000
|
|||||||||
|
Bird
|
46,500
|
$ 46,500
|
||||||||||
|
Cope
|
64,500
|
7,500
|
8,200
|
$48,800
|
||||||||
|
DeSpears
|
40,600
|
$40,600
|
||||||||||
|
Others
|
|
131,000
|
|
82,400
|
|
34,700
|
|
13,900
|
|
|
||
|
|
|
$308,600
|
|
$136,400
|
|
$53,900
|
|
$28,900
|
|
$48,800
|
|
$40,600
|
|
Estimated
percentage uncollectible
|
|
|
3%
|
|
8%
|
|
11%
|
|
20%
|
|
63%
|
|
|
Total
estimated bad debts
|
|
$ 46,921
|
|
$ 4,092
|
|
$4,312
|
|
$3,179
|
|
$ 9,760
|
|
$25,578
|
At
December 31, 2013, the unadjusted balance in Allowance for Doubtful Accounts is
a credit of $7,200.
SOLUTION
(a) Dec. 31 Bad Debts Expense........................................................... 39,721
Allowance for Doubtful Accounts
($46,921
– $7,200) 39721File name: P8-3A Bosworth Company..doc File type: doc PRICE: $8
