In 2019, Grant Corporation recorded credit sales of $3,200,000 and bad debts expense of $42,000. Write-offs of uncollectible accounts totaled $39,000 and one account, worth$ 12,000, that had been written off in an earlier year was collected in 2019.

a. Prepare journal entries to record each of these transactions.

b. If net accounts receivable increased by $220,000, how much cash was collected from credit customers during the year? Prepare a journal entry to record cash collections.

c. Set up T-accounts and post each of the transactions in parts a and b to them.

d. Record each of the above transactions in the financial statement effects template to show the effect of these entries on the balance sheet and income statement.