On 30 June 2010 Apex Chemicals Ltd had a €24 522 credit balance in allowance for uncollectible accounts. The company uses the percentage of sales method to estimate uncollectible accounts. In the third quarter, Apex had the following credit sales: July €1 710 500; August €1 655 000; and September €1 670 000.

During the same three months, defaults totalled €59 000; €27 500 and €26 000, respectively. The company uses 2.38% of sales to estimate uncollectible amounts.

What journal entries were made related to these events.^ What was the balance in the allowance account on 20 September 2010?LO1.