Question - A summary of Klugman Company's December 31, 2009, accounts receivable aging schedule is presented below along with the estimated percent uncollectible for each age group:
Age Group Amount %
0-60 days $60,000 0.5
61-90days $22,000 1.0
91-120days $3,000 10.0
Over 120days $1,000 50.0
The allowance for uncollectible accounts had a balance of $1,400 on January 1, 2009. During the year, bad debts of $750 were written off.
Required: Prepare all journal entries for 2009 with respect to bad debts and the allowance for uncollectible accounts.