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Uncollectible 1 % N 9 Not past due 1-30 days past due 31-60 days past due 61-90 days past due 91-120 days past due Over 120 days past due 28 40 75 Required: 1. Determine the number of days past due for each of the preceding accounts. If an account is not past due, enter a zero. Customer Due Date Number of Days Past Due Arcade Beauty Aug. 17 5,100 x days Creative Images Oct. 30 4,400 x days Excel Hair Products July 3 8,200 X days First Class Hair Care Sept. 8 6,600 X days Golden Images Nov. 23 3,500 X days Oh That Hair Nov. 29 2,800 X days One Stop Hair Designs Dec. 7 6,400 x days Visions Hair & Nail Jan. 11 4,500 X days 2. Complete the aging of receivables schedule by adding the omitted accounts to the bottom of the schedule and updating the totals. If an amount box does not require an entry, leave it blank. Wig Creations Company Aging of Receivables Schedule December 31, 2017 Not Past Days Past Days Past Days Past Days Past Days Past Balance Due Due 1-30 Due 31-60 Due 61-90 Due 91-120 Due Over 120 Customer ABC Beauty 20,400 20,400 Angel Wigs 7,000 7,000 Zodiac Beauty 3,900 3,900 Subtotals 1,293,000 744,500 293,800 128,100 35,600 15,600 75,400 Arcade Beauty 20,400 Creative Images Excel Hair Products First Class Hair Care Golden Images Oh That Hair One Stop Hair Designs Visions Hair & Nail Totals Golden Images Oh That Hair One Stop Hair Designs Visions Hair & Nail Totals Percent uncollectible (%) % % % % % % Estimate of uncollectible accounts $ 3. Estimate the allowance for doubtful accounts, based on the aging of receivables schedule. Feedback Check My Work Add the accounts into the aging schedule based on their number of days past due. Apply the respective uncollectible percentage to the total receivables in each days past due group and the not past due group. 4. Assume that the allowance for doubtful accounts for Wig Creations has a credit balance of $3,500 before adjustment on December 31, 2017. Journalize the adjustment for uncollectible accounts. If an amount box does not require an entry, leave it blank. Dec. 31 Accounts Payable

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