2. (5 points) The balance sheet of Starsky Company at January 1, 2022, includes the following. Accounts receivable 425,000 Less: Allowance for doubtful accounts (22,000) $403,000 Transactions in 2022 include the following. 1. Sales on credit for the year were $1,385,000. (all service revenue) 2. Accounts receivable of $1,115,000 were collected. 3. Customer accounts of $45,000 were written off during the year. 4. At year-end, bad debts were estimated to be 7% of the ending A/R balance (based on the % of A/R method). Make sure to update the A/R and Allowance balance for the transactions above before calculating bad debt expense. Prepare all journal entries necessary to reflect the transactions above. Accounts Debit Credit 1. 2. 3. 4