Williamson Distributors separates its accounts receivable into three age groups for purposes of estimating the percentage of uncollectible accounts. 1. Accounts not yet due = $40,000; estimated uncollectible = 5%. 2. Accounts 1–30 days past due = $11,000; estimated uncollectible = 20%. 3. Accounts more than 30 days past due = $5,000; estimated uncollectible = 30%. Compute the total estimated uncollectible accounts.

Williamson Distributors separates its accounts receivable into three age groups for purposes of estimating the percentage of uncollectible accounts. 1. Accounts not yet due = $40,000; estimated uncollectible = 5%. 2. Accounts 1–30 days past due = $11,000; estimated uncollectible = 20%. 3. Accounts more than 30 days past due = $5,000; estimated uncollectible = 30%. Compute the total estimated uncollectible accounts.

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter16: Accounting For Accounts Receivable

Section: Chapter Questions

Problem 1CE

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