$615.000 $ 21,940 128 16 55 Prepare the adjusting journal entry at December 31 to record Tom, Inc's estimated bad debts assuming that the company uses the aging of accounts receivable method. Show all work. HTML i en BIU A - A - I ET 11 ] x x - De NVX G E T 12pt - - as 18 39 Assume that the company estimates bad debt to be 2% of net credit sales instead of using the balance sheet method. Calculate the proper amount of bad debt expense to be reported on the income statement for the year ending December 31st. Show all work. HTML X B Az 1 1 B - y A - A - I, E 3 OD 2 VX GO Ix" x 5 E T 12pt - TT DET I II 12p - 19 78 Assume on the first day of the next period that Tom decides to write-off the $5,000 of accounts receivable outstanding over 360 days. Prepare the necessary journal entry to record the write-off. 4 5 HTML 2 E B I VA - I - IX E 331 x , - 20 ? NVX GO O TT 12pt E - * W U oonhained the onowing balances questions On December 31, the Tom, na Trece Account Rocolvable $ 615.000 Allowance for Doubtful Accounts 1,200 (debit) Net Credit Sales $ 1,529,000 Aging of the accounts receivable balance on December 31 Indicated the following: Age Amount Est % Uncollectible Est of Uncollectible Under 30 days $344,000 1.0% $ 3,440 30-90 days 156,000 3.0% 4,680 91180 days 86,000 7.0% 6,020 181360 days 24,000 20.0% 4,800 Over 360 days 5,000 60.0% 3,000 $615,000 $ 21,940