Estimating Doubtful Accounts Outlaw Bike Co. is a wholesaler of motorcycle supplies. An aging of the company’s accounts receivable on December 31, and a historical analysis of the percentage of uncollectible accounts in each age category are as follows: Age Class Balance Percent Uncollectible Not past due $908,000 1/2 % 1–30 days past due 99,900 2 31-60 days past due 45,400 8 61–90 days past due 32,700 14 91–180 days past due 23,600 40 Over 180 days past due 17,300 75 $1,126,900 Estimate what the proper balance of the allowance for doubtful accounts should be as of December 31. Age Class Balance Percent Uncollectible Estimated Uncollectible Accounts Amount Not past due $908,000 1/2% $ 1-30 days past due 99,900 2 31-60 days past due 45,400 8 61-90 days past due 32,700 14 91-180 days past due 23,600 40 Over 180 days past due 17,300 75 Total $1,126,900 $