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Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry...

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Accounting

Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry for bad debt expense is recorded only at December 31, the company's fiscal year-end. The 2023 balance sheet disclosed the following:
Current assets:
Receivables, net of allowance for uncollectible accounts of $36,000
$462,000
During 2024, credit sales were $1,780,000, cash collections from customers $1,860,000, and $41,000 in accounts receivable were written off. In addition, $3,600 was collected from a customer whose account was written off in 2023. An aging of accounts receivable at December 31,2024, reveals the following:
\table[[Age Group,\table[[Percentage of Year-],[End Receivables in],[Group]],\table[[Percent],[Uncollectible]]],[0-60 days,70%,5%
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