At December 31, Tremble Music had account balances in Accoun…
At December 31, Tremble Music had account balances in Accounts Receivable of $300,000 and in Allowance for Uncollectible Accounts of $1,000 (credit balance) before adjustment. An analysis of Tremble’s December 31 accounts receivable suggests that 5% of the account balances are not expected to be collected. After adjustment, the balance of Allowance for Uncollectible Accounts will be: