4 16 points Innovative Tech Incorporated (IT) has been using the percentage of credit sales method to estimate bad debts. During November ITI sold services on account for $160,000 and estimated that 1/4 of 1 percent of those sales would be uncollectible Required: 1. Prepare the November adjusting entry for bad debts. 2. Starting in December IT switched to using the aging method. At its December 31 year-end, total Accounts Receivable is $80,100, aged as follows: (1) to 30 days old, $66,000 (2) 31 to 90 days old, $11,000, and (3) more than 90 days old. $3,100. The average rate of uncollectibility for each age group is estimated to be (l) 11 percent . (2) 22 percent, and (3) 44 percent respectively. Prepare a schedule to estimate an appropriate year-end balance for the Allowance for Doubtful Accounts 3. Before the end of year adjusting entry is made, the Allowance for Doubtful Accounts has a $1,150 credit balance at December 31. Prepare the December 31 adjusting entry 4. Show how the various accounts related to accounts receivable should be shown on the December 31 balance sheet. Skipped eBook Print References Complete this question by entering your answers in the tabs below. Required Required 2 Required 3 Required 4 Prepare the November adjusting entry for bad debts. (It no entry is required for a transaction/event, select "No Journal Entry Rer in the first account field.) View transaction fist Journal entry worksheet 4 percent , respectively. Prepare a schedule to estimate an appropriate year-end balance for the Allowance for Doubtful Accounts 3. Before the end-ofyeat adjusting entry is made, the Allowance for Doubtful Accounts has a $1,150 credit balance at December 31. Prepare the December 31 adjusting entry 4. Show how the varlous accounts related to accounts receivable should be shown on the December 31 balance sheet. 16 points Complete this question by entering your answers in the tabs below. Skipped Required 1 Required 2 Required 3 Required 4 eBook Print Starting in December, ITI switched to using the aging method. At its December 31 year end, total Accounts Receivable is $80,100, aged as follows: (1) 1 to 30 days old, $66,000; (2) 31 to 90 days old, $11,000; and (3) more than 90 days old, $3,100. The average rate of uncollectibility for each age group is estimated to be (1) 11 percent. (2) 22 percent, and (3) 44 percent, respectively. Prepare a schedule to estimate an appropriate year end balance for the Allowance for Doubtful Accounts References Show less 1 to 30 31 to 90 Over 90 Total $ Accounts Receivable Estimated Uncollectible() Estimated Uncollectible (5) Complete this question by entering your answers in the tabs below. 4 Required 1 Required 2 Required 3 Required 4 Before the end-of-year adjusting entry is made, the Allowance for Doubtful Accounts has a $1,150 credit balance at December 31 Prepare the December 31 adjusting entry. (If no entry is required for a transaction/event, select "No Journal Entry Required in account field.) nts Skipped View transaction list eBook Journal entry worksheet