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 $46,310 and $3650, respectively. During the year, the company wrote off $2740 in uncollectible accounts. In preparation for the company's Year 2 estimate, Domino prepared the following aging schedule:Number of daysReceivables% Likely to bepast dueamountuncollectibleCurrent $77,000? 1%? 0-30 28,400? 5%? 31-60 7460? 10%? 61-90 3920? 25%? Over 90 3600? 50%? Total $120,380? ?What will Domino record as Uncollectible Accounts Expense for Year 2?
A. $4806
B. $5716
C. $2066
D. $2740
Answer: A
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