Question: Williamson Distributors separates its accounts receivable into three age groups for purposes of estimating the percentage of uncollectible accounts.
1. Accounts not yet due = $30,000; estimated uncollectible = 5%.
2. Accounts 1-30 days past due = $10,000; estimated uncollectible = 20%.
3. Accounts more than 30 days past due = $4,000; estimated uncollectible = 30%.
Compute the total estimated uncollectible accounts.