10 Santana Rey, owner of Business Solutions, realizes that she needs to begin accounting for bad debts expense. that Business Solutions has total revenues of $48,000 during the first three months of 2020, and that the Acco Receivable balance on March 31, 2020, is $22,267. pints Required: 1a. Prepare the adjusting entry to record bad debts expense, which are estimated to be 2% of total revenues or 31, 2020. There is a zero unadjusted balance in the Allowance for Doubtful Accounts at March 31. 1b. Prepare the adjusting entry to record bad debts expense, which are estimated to be 3% of accounts receiva March 31, 2020. There is a zero unadjusted balance in the Allowance for Doubtful Accounts at March 31. 2. Assume that Business Solutions's Accounts Receivable balance at June 30, 2020, is $20,800 and that one a of $83 has been written off against the Allowance for Doubtful Accounts since March 31, 2020. If Rey uses the in part 1b, what adjusting journal entry is made to recognize bad debts expense on June 30, 2020? eBook Print Complete this question by entering your answers in the tabs below. eference Req 1A Req 1B Req 2 Prepare the adjusting entry to record bad debts expense, which are estimated to be 2% of tota revenues on March 31, 2020. There is a zero unadjusted balance in the Allowance for Doubtful Accounts at March 31. Show les View transaction list Journal entry worksheet Record estimated bad debts. Note: Enter debits before credits. General Journal Debit Credit Date March 31, 2020 Record entry View general journal Clear entry - Reg 1A Reg 1B Journal entry worksheet Record estimated bad debts. Note: Enter debits before credits. Journal entry worksheet Record the estimated bad debts. Note: Enter debits before credits