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Question - Oceanside Company uses the balance sheet approach in estimating uncollectible accounts expense. Its Allowance for Doubtful Accounts has a $1,200 credit balance prior to adjusting entries. It has just completed an aging analysis of accounts receivable at December 31, 2015. This analysis disclosed the following information:
Age Group Total
Percentage Considered Uncollectible
Not yet due
1-30 days past due
31-60 past due
What is the appropriate balance for Oceanside's Allowance for Doubtful Accounts at December 31, 2015?
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