What is the ending balance of bad debt expense

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Question - Baylor Co.'s accounts receivable show the following balances by age:

Age of Receivable; Balance

31-60 days; $165,000

0-30 days; $800,000

61-120 days; $75,000

more than 120 days; $40,000

Before aging the accounts, AFUA has debits totaling $12,000 from writing off actual accounts during the year. Baylor Co. uses the following percentages to compute the estimated amounts of receivables that will eventually prove uncollectible: 0-30 days, 1.0%; 31-60 days, 1.2%; 61-120 days, 5%; and more than 120 days, 65%.

What is the ending balance of Bad Debt Expense after the proper adjusting journal entry to estimate uncollectibles for the period has been made?

Reference no: EM132907274

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