Question
Domino Company uses the aging of accounts receivable method to estimate uncollectible accounts expense. Domino began Year 2 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $45.350 and $3,560, respectively. During the year, the company wrote off $2.690 in uncollectible accounts. In preparation for the company's Year 2 estimate, Domino prepared the following aging schedule: Number of days Receivables amount % Likely to be uncollectible past due Current 0-30 31-60 61-90 Over 98 Total $ 74,000 27,700 7,160 3,720 3,400 $115,980 1% 5% 18% 25% 50% What will Domino record as Uncollectible Accounts Expense for Year 2? Multiple Choice $1,911 $5,471 $2,690 $4,601
