a. On December 31, 20x2, prior to making any adjusting entries, Mangione Co. had the following balances in its general ledger: Sales revenue (7% were for cash sales) Accounts receivable Allowance for doubtful accounts $4,700,000 cr. 397,000 dr. Prepare the adjusting journal entry to record bad debt expense for the December 31, 20x2 under the following two assumptions: i. ii. 2,300 dr. ended year The company estimates bad debts will equal of 1% of credit sales. The company estimates that bad debts will equal to 4% of accounts receivable. (4 marks)