Reference no: EM132966865

Question - In your examination of the books and accounts of Graciella Corporation for the year 2018, you have noted that the entire past due accounts of the company amounting to P400,000 should be set up as allowance for uncollectible accounts. On these past due accounts, management with proper recommendation from the company's legal counsel, had decided to write-off accounts with balance, totaling P80,000. As of December 31, 2018, the balance of "allowance for uncollectible accounts" was P250,000. As part of your adjustment, how much additional uncollectible accounts expense should be provided at December 31, 2018?