Aaron Servicing showed the following partial unadjusted results at October $31,2023,$ its year$-$end:

Account Debit Credit

Sales $ $1,560,000$

Accounts receivable $ $140,000$

Allowance for doubtful accounts $3,000$

Part $1$

Required:

a$.$ Assuming Aaron estimates bad debts to be $1\mathrm{.}5\%$ of sales, prepare the adjusting entry at October $31,2023.$

b$.$ Show how accounts receivable would be shown on the October $31,2023,$ balance sheet using your calculations in $($a$).$

Part $2$

Required:

c$.$ Instead of $($a$),$ assume that Aaron estimates bad debts to be $5\%$ of outstanding accounts receivable. Prepare the adjusting entry at October $31,2023.$

d$.$ Show how accounts receivable would be shown on the October $31,2023,$ balance sheet using your calculations in $($c$).$