2 Homework Che Saved to my Mod References Mailings Review View Tell me Aa 2 Alt AGE ABCD A AaBbce. Heading Question no. 1 Percent of sales method; write-off At year-end (December 31), Rashed Company estimates its bad debts as 0.75% of its annual credit sales of AED770,000. Rashed records its bad debts expense for that estimate > On the following March 15, Rashed decides that the AED1,050 account of A. Abdulla is uncollectible and writes it off as a bad debt. On April 15, Abdulla unexpectedly pays the amount previously written off. Required: Prepare the journal entries of Rashed to record these transactions and events of December 31, March 15, and April 15 Question no. 2 Percent of accounts receivable method At cach calendar year-end, Eutaim Electric Co. uses the percent of accounts receivable method to estimate bad debts. On December 31, 2018, it has outstanding accounts receivable of AED210,000, and it estimates that 3.5% will be uncollectible Required: Prepare the adjusting entry to record bad debts expense for year 2018 under the assumption that the Allowance for Doubtful Accounts has (a) a AED2,200 credit balance before the adjustment and (b) a AED1,400 debit balance before the adjustment Focus 80 FO 7