(a) Journalize the above events in 2018 ; (b) Prepare the adjusting journal entry to record the bad debt provision for the year ended December 31, 2018. Use the journal paper provided.

What is the balance of Allowance for Doubtful Accounts at December 31, 2018?

2018 Past experience indicates that 2% of net credit sales will eventually be uncollectible for the Elmerez Rental Company. Selected general ledger account balances at December 31, 2017, and December 31, 2018, appear below: 2017 Sales S421,000 $526,500 Sales returns and allowances 21,000 26,500 Accounts Receivable 80,000 100,000 Allowance for Doubtful Accounts 3,000 ? The following events in 2018. Aug. 10 Determined that the account of Henry Hum for $2,500 is uncollectible. Sept. 12 Determined that the account of Mark Pippy for $4,000 is uncollectible. Oct. 10 Received a cheque for $1,800 as payment on account from Henry Hum, whose account had previously been written off as uncollectible. He indicated the remainder of his account would be paid in November Nov. 15 Received a cheque for $700 from Henry Hum as payment on his account