Putnam & Putnam, a legal firm, uses the balance sheet

approach to estimate uncollectible accounts expense. At year-end,

an aging of the accounts receivable produced the following five

groupings:

a.

b.

c.

d.

e.

On the basis of past experience, the company estimated the

percentages probably uncollectible for the above five age groups to

be as follows: Group a, 1 percent; Group b, 3 percent; Group c, 10

percent; Group d, 20 percent; and Group e, 50 percent.

     The Allowance for Doubtful

Accounts before adjustment at December 31 showed a credit balance

of $5,900.

Compute the estimated amount of uncollectible accounts based on

the above classification by age groups.

Prepare the adjusting entry needed to bring the Allowance for

Doubtful Accounts to the proper amount

Assume that on January 10 of the following year, Putnam &

Putnam learned that an account receivable that had originated on

September 1 in the amount of $4,300 was worthless because of the

bankruptcy of the client, Safeland Co. Prepare the journal entry

required on January 10 to write off this account.