21. A company had the following items and amounts in its unadjusted trial balance as of December 31 of the current year: Debit 5 88,000 275,000 Cash sales Credit sales Accounts receivable Allowance for doubtful accounts $96,000 1,000 Prepare the adjusting entry to estimate bad debts under each of the following separate situations. a. Bad debts are estimated to be 2.5% of credit sales. b. An aging analysis estimates that 8% of the outstanding accounts receivable will be uncollectible