Blocker Company estimates its uncollectible accounts based on an

analysis of receivables. On December $31,$ a junior accountant

prepared the following aging schedule for the company's $$88,000$ in

outstanding receivables.

Estimated

Uncollectible Accounts

Age Interval Amount $\%$ Amount

Not due............................................ $$58,6502\%$ $$1,173$

$130$ days past due $........................13,2204\%529$

$3160$ days past due $......................8,93020\%1,786$

$6190$ days past due $......................4,00030\%1,200$

Over $90$ days past due $...................3,20050\%1,600$

$$88,000$ $$6,288$

The Allowance for Doubtful Accounts currently has a $$210$ debit

balance.

$1.$ Prepare the adjusting entry to record the company's estimate of

uncollectible accounts.

$2.$ Prepare the journal entry to write off the following accounts:

T$.$ Donaldson $..............................................$ $ $700$

J$.$ Kyle $.........................................................450$

D$.$ Mize......................................................... $1,000$

$3.$ Prepare the journal entry to record receipt of the $$450$ owed by J$.$

Kyle.

$4.$ Write an answer to the following question: What circumstances

would cause the Allowance for Doubtful Accounts to have a debit

balance prior to adjustment?

Prepare the above journal entries in proper form. Thoroughly answer

#$4$ in paragraph form using proper spelling, punctuation and

grammar. Cite any sources that you use