Reference no: EM132492285

Baltimore Company uses aging to estimate uncollectibles. At the end of the fiscal year, December 31, 2018, Accounts Receivable has a balance that consists of:

Dollar Value            Age of Account             Estimated Collectible

$155,000                < 30 days old                        98%

65,000                     30 to 60 days old                  90%

20,000                      61 to 120 days old               79%

12,000                        > 120 days old                     13%

Question 1: The current unadjusted Allowance for Uncollectible Accounts balance is a debit balance of $2,000 and the Bad Debt Expense accounts has an unadjusted balance of zero. After the adjusting entry is made, what will be the dollar balances in the Allowance for Doubtful Accounts? Round to nearest whole dollar.