The following selected transactions were taken from the records of Shaw Company for the first year of its operations ending December 31, 2008:

a. Journalize the transactions for 2008 under the direct write-off method.

b. Journalize the transactions for 2008 under the allowance method.

c. How much higher (lower) would Shaw's 2008 net income have been under the direct write-off method than under the allowance method?

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Jan. 31. Wrote off account of B. Roberts, $2,400. Mar. 26. Received $1,500 as partial payment on the $3,500 account of Carol Castellino. Wrote off the remaining balance as uncollectible.