ABC 3. MM & NO Company estimates that its credit sales will have about 5 % bad debts in 2019. Its credit sales for that year was $2,500,000. The Company uses the Allowance Method. Required: a. Prepare the general journal entries to record the provision of uncollectibility, at year end. 7. b. MM& NO Company received a court document that suggests that KRN Company that has been owing $20,000 is bankrupt and unable to pay his debt. Required: Prepare general journal entries in MM & NO BOOKS to recognize this reality I Under the Allowance Method il. Under the Direct Method United States Focus