(18 minutes) The following summarized transactions relate to Retail Ltd. for the year ending December 31, 20x2. The company uses the periodic method to account for inventory. Cash sales Credit sales Collection of credit sales $ 80,000 720,000 580,000 22,000 4,600 Write-off of uncollectible accounts receivable Recovery of previously written off accounts receivable The balance in accounts receivable at January 1, 20x2 was a $100,000 debit, and the balance in allowance for doubtful accounts at that date was a $15,800 credit. Required - Prepare the journal entries to record the activity for Retail, including any year-end adjusting entries, assuming the company uses the balance sheet (accounts receivable) method to estimate bad debt expense. The company estimates that 5% of accounts receivable will ultimately be uncollectible. sup