The following information pertains to tara co.’s accounts receivable at december 31, year 2: days estimated outstanding amount % uncollectible 0 - 60 $120,000 1% 61 - 20 90,000 2% over 120 100,000 6% $310,000 during year 2, tara wrote off $7,000 in receivables and recovered $4,000 that was written off in prior years. tara’s december 31, year 1, allowance for uncollectible accounts was $22,000. under the aging method, what amount of allowance for uncollectible accounts should tara report at december 31, year 2?

Lynch company manufactures and sells a single product. the following costs were incurred during the company’s first year of operations: variable costs per unit: manufacturing: direct materials $ 12 direct labor $ 6 variable manufacturing overhead $ 1 variable selling and administrative $ 1 fixed costs per year: fixed manufacturing overhead $ 308,000 fixed selling and administrative $ 218,000 during the year, the company produced 28,000 units and sold 15,000 units. the selling price of the company’s product is $56 per unit. required: 1. assume that the company uses absorption costing: a. compute the unit product cost. b. prepare an income statement for the year. 2. assume that the company uses variable costing: a. compute the unit product cost. b. prepare an income statement for the year.