Question

Exercise 8-4 (Part Level Submission) Menge Company has accounts receivable of $108,900 at March 31. An analysis of the accounts shows the following information. Month of Sale March February January Prior to January Balance, March 31 $70,800 20,300 9,400 8,400 $108,900 Credit terms are 2/10, n/30. At March 31, Allowance for Doubtful Accounts has a credit balance of $1,470 prior to adjustment. The company uses the percentage-of-receivables basis for estimating uncollectible accounts. The company's estimate of bad debts is shown below. Age of Accounts 1-30 days 31-60 days 61-90 days Over 90 days Estimated Percentage Uncollectible 3% 6% 21% 52% (a) X Your answer is incorrect. Try again. Determine the total estimated uncollectibles. Total estimated uncollectibles 8214

Answer 1

Total estimated uncollectibles is $ 9,684
Dear Student
Thank you for using homeworklib
Please find below the answer
Statement showing Computations
Age of accounts	Amount	Estimated % uncollectible	Estimated uncollectible in $
1-30 days	70,800.00	3%	2,124.00
31-60 Days	20,300.00	6%	1,218.00
61-90 days	9,400.00	21%	1,974.00
Over 90 days	8,400.00	52%	4,368.00
	108,900.00		9,684.00