A year-end review of Accounts Receivable and estimated uncollectible percentages revealed the following: Before the year-end adjustment,the credit balance in Allowance for Uncollectible Accounts was $1,300.Under the aging-of-receivables method,the Uncollectible-Account Expense at year-end is:
A)$1,950.
B)$9,000.
C)$10,300.
D)$11,600.

Question

A year-end review of Accounts Receivable and estimated uncollectible percentages revealed the following:  Before the year-end adjustment,the credit balance in Allowance for Uncollectible Accounts was $1,300.Under the aging-of-receivables method,the Uncollectible-Account Expense at year-end is:
A)$1,950. 
B)$9,000. 
C)$10,300. 
D)$11,600.

Quizplus · Accepted Answer

($65,000 × 0.03)+ ($45,000 × 0.05)+ ($21,000 × 0.1)+ ($8,000 × 0.5)=$10,300
$10,300 - $1,300 = $9,000

A Year-End Review of Accounts Receivable and Estimated Uncollectible Percentages