4 Part 1 of 3 1.5 points Required Information Problem 7-2A (Static) Estimating and reporting bad debts LO P2, P3 (The following Information applies to the questions displayed below] At December 31, Hawke Company reports the following results for its calendar year Cash sales Credit sales $ 1,905,000 $ 5,682,000 In addition, Its unadjusted trial balance Includes the following items. eBook Accounts receivable Allowance for doubtful accounts Print Problem 7-2A (Static) Part 1 References $ 1,270,100 debit $ 16,580 debit Required: 1. Prepare the adjusting entry to record bad debts under each separate assumption. a. Bad debts are estimated to be 1.5% of credit sales. b. Bad debts are estimated to be 1% of total sales. c. An aging analysis estimates that 5% of year-end accounts receivable are uncollectible. Adjusting entries (all dated December 31). View transaction list Journal entry worksheet < A B C Bad debts are estimated to be 1.5% of credit sales. Note: Enter debits before credits. Date December 31 General Journal Debit Credit Record entry Clear entry View general journal >