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Posted:
Fonda Bikes Co. is a wholesaler of motorcycle supplies.
An aging of the companyâs accounts receivable on December 31, 2010 - Essay Writing Service: Write My Essay by Top-Notch Writer,
and a
historical analysis of the percentage of uncollectible accounts in each age
category are as follows:
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Age
Interval
Balance
Uncollectible
percent uncollect Percent
Not past due
$567,000
½%
1-30 days past
due
58,000
3
31-60 days
past due
29,000
7
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61-90 days
past due
20,500
15
91-180 days
past due
15,000
40
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Over 180 days
past due
10,500
75
$700,000
Estimate
what the proper balance of the allowance for doubtful accounts should be as
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