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Required information [The following information applies to the questions displayed below.] Daley Company prepared the following aging of receivables analysis at December 31. Days Past Due 31 to 60 $36,000 Accounts receivable Percent uncollectible Total $570,000 0 $ 396,000 1% 1 to 30M $ 90,000 2% 5% 61 to 90 $ 18,000 7% Over 90 $ 30,000 10% a. Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4.5% of total accounts receivable to estimare uncollectibles, instead of the aging of receivables method. b. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,000 credit. c. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $1,000 debit.

Allowance for Doubtful Accounts is a $1,000 debit. Complete this question by entering your answers in the tabs below. Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4.5% of total accounts recelvable to estimate uncollectibles, instead of the aging of receivables method. Required information [The following information applies to the questions displayed below.] Daley Company prepared the following aging of recelvables analysis at December 31 a. Estimate the balance of the Allowance for Doubtful Accounts assuming the company uses 4.5% of total accounts recelvable to estimafe uncollectibles, instead of the aging of recelvables method b. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,000 crecit. c. Prepare the adjusting entry to record bad debts expense using the estimate from part a. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $1,000 debit. Record estimated bad debts assuming that Allowance for Doubtful Accounts has a $12,000 credit balance. Note: Enter debits before credits. Record estimated bad debts assuming that Allowance for Doubtful Accounts has a $1,000 debit balance. Note: Enter debits before credits

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