1 Required information [The following information applies to the questions displayed below) At December 31, Hawke Company reports the following results for its calendar year. 01:38:05 cipped Cash sales Credit sales $2,131,650 $3,963,000 7 In addition, its unadjusted trial balance includes the following items. Accounts receivable Allowance for doubtful accounts $1,200, 789 debit $ 24,390 debit Required: 1. Prepare the adjusting entry to record bad debts under each separate assumption. a. Bad debts are estimated to be 3% of credit sales. b. Bad debts are estimated to be 2% of total sales. C. An aging analysis estimates that 6% of year-end accounts receivable are uncollectible. Prey 1 of 25 Next