Presented below is an aging schedule for Bosworth Company. Number of Days Past D

Question

Presented below is an aging schedule for Bosworth Company.

                                                                                    Number of Days Past Due

Customer       Total       Not Yet Due              1–30          31–60       61–90       Over 90
Aneesh       $ 24,100                                   $ 9,100       $15,000              
Bird                40,200       $ 40,200                              
Cope             54,500             8,700                  7,100                  $38,700      
DeSpears      37,000                                                                                                $37,000
Others       157,500          88,800                 46,400        22,300
                   $313,300      $137,700         $62,600     $37,300      $38,700         $37,000
Estimated percentage

uncollectible                         4%                        6%           14%             24%             60%

Total estimated

bad debts$ 45,974     $ 5,508                  $3,756       $5,222        $ 9,288        $22,200

At December 31, 2013, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $7,700.

  
Journalize the adjusting entry for bad debts at December 31, 2013. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Post the adjusting entry for bad debts at December 31, 2013.

Journalize the 2014 transactions: (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

1.     March 1, a $610 customer balance originating in 2013 is judged uncollectible.
2.     May 1, a check for $610 is received from the customer whose account was written off as uncollectible on March 1.

Post to the allowance account these 2014 events. (Post entries in the order of journal entries posted in the previous part.)

Allowance for Doubtful Accounts
2013      12/31   Bal.    7,700  

                  12/31            38,274
                12/31    Bal.   45,974

2014           
  

Explanation / Answer

Journal Debit Credit 12/31/2013 Accounts receivable          38,274 Allowance for Doubtful Accounts          38,274 3/1/2014 Bad debts expense                610 Allowance for Doubtful Accounts                610 5/1/2014 Allowance for Doubtful Accounts                610 Bad debts expense                610 Allowance for Doubtful Accounts Date Particular Debit Date Particular Credit 5/1/2014 Allowance for Doubtful Accounts 610 12/31/2013 opening balance      7,700 12/31/2014 closing balance 45974 12/31/2013 Accounts receivable    38,274 3/1/2014 Bad debts expense          610 46584    46,584

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