Estimating uncollectible accounts by analyzing individual accounts receivable according to the length of time they have been outstanding is known as the:

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Estimating uncollectible accounts by analyzing individual accounts receivable according to the time they have been outstanding is known as the aging-of-receivables method. This method involves categorizing accounts receivable into different age groups and estimating the percentage of each age group that may not be collected. This method is more accurate than other methods as it considers the actual age of the receivables rather than just estimating the overall percentage of sales that may not be collected (percent-of-sales method) or waiting until individual accounts are deemed completely uncollectible before writing them off (direct write-off method). The allowance method is a broader approach that involves estimating the overall uncollectible accounts based on past experience and current economic conditions.

Estimating Uncollectible Accounts by Analyzing Individual Accounts Receivable According to the Length