Baltimore Company uses aging to estimate uncollectibles. At the end of the fiscal year, December 31, 2018, Accounts Receivable has a balance that consists of:

Dollar Value Age of Account Estimated Collectible
$170,000 < 30 days old 99%
60,000 30 to 60 days old 91%
30,000 61 to 120 days old 80%
14,000 > 120 days old 13%

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Answer the study of how household and firms make choices,how they interact in market and how the government attempts to influence their choices;