1) From its first day of operations to December 31, 2020, Campbell Corporation provided for uncollectible accounts receivable under the allowance method: 1. Entries for bad debt expense were made monthly based on 2.5% of credit sales. 2. Bad debts that were written off were charged to the Allowance for Doubtful Accounts. 3. Recoveries of bad debts previously written off were credited to the allowance account. 4. No year-end adjustments were made to the allowance account. The balance in Allowance for Doubtful Accounts was $184,000 at January 1, 2020. During 2020, credit sales totalled $9.4 million, interim entries for bad debt expense were based on 2.5% of credit sales, 595,000 of bad debts were written off, and recoveries of accounts previously written off amounted to $15,000. Campbell upgraded its computer facility in November 2020, and an aging of accounts receivable was prepared for the first time as at December 31, 2020. Campbell's usual credit terms were net 30 days, and remain unchanged. A summary of the aging analysis follows: Balance in Estimated % Classification by Month of Sale Each Category Uncollectible November-December 2020 $1,080,000 8.0% July-October 2020 650,000 12.5% January-June 2020 420,000 20.0% Before January 1, 2020 150,000 60.0% $2,300,000 Beginning with the year ended December 31, 2020, Campbell adopted a new accounting method for estimating the allowance for doubtful accounts: it now uses the amount in the year-end aging analysis of accounts receivable. Instructions a. Prepare Tee accounts that shows the changes in Accounts Receivable and Allowance for Doubtful Accounts from the beginning of the year to the year ended December 31, 2020. Show supporting calculations (including an aged accounts receivable schedule)in good form b. Prepare the journal entry for the year-end adjustment to the Allowance for Doubtful Accounts balance (to ensure that the allowance equals the aging schedule) as at December 31, 2020. 30 marks