4.2 LO2 The opening balance on the receivables account of a business was $40,000.

The following transactions occur, all of which relate to receivables:

(a) Sales on credit amounted to $25,000.

(b) Cash received from debtors amounted to $45,000, which was in satisfaction of debts of

$45,900.

(c) Bad debts of $1,200 were written off.

Journalise these transactions, post the appropriate amounts in the receivables account, and balance off the account.