Let’s solve the problem step by step based on the aging of receivables analysis provided.

Step 1: Calculate the Estimated Allowance for Doubtful Accounts

We use the aging schedule to estimate the allowance by multiplying the total accounts receivable in each age category by the respective uncollectible percentage:

Calculation:

1. Current (0 days past due): $94,000 \times 1\% = 940$

2. 1 to 30 days: $32,000 \times 3\% = 960$

3. 31 to 60 days: $14,000 \times 5\% = 700$

4. 61 to 90 days: $11,000 \times 8\% = 880$

5. Over 90 days: $13,000 \times 11\% = 1,430$

Total Estimated Allowance:

$940 + 960 + 700 + 880 + 1,430 = 4,910$

Step 2: Determine the Adjusting Entry

The unadjusted balance in the Allowance for Doubtful Accounts is a $2,400 credit. To adjust it to the required balance of $4,910, we calculate the adjustment:

$4,910 - 2,400 = 2,510$

Step 3: Record the Adjusting Entry

The journal entry to record the adjustment is:

This entry increases the Allowance for Doubtful Accounts to the required balance of $4,910.

Do you have any additional questions or need further clarifications? Here are some related questions to deepen understanding:

1. What is the purpose of the Allowance for Doubtful Accounts in financial reporting?
2. How would the adjusting entry differ if the unadjusted balance was a debit instead of a credit?
3. Why are different percentages applied to accounts receivable based on their aging?
4. What happens to the Allowance for Doubtful Accounts if actual bad debts differ from estimates?
5. How does this entry affect the financial statements (income statement and balance sheet)?

Tip: Always double-check the unadjusted balance before calculating the required adjustment for accurate journal entries.