Accounts Receivable Allowance Methods Review Company had net credit sales revenue of $450,000 in 2017. Their Allowance for Bad Debts has a debit balance of $500. Study of prior year's figures indicates 1.5% of net sales are uncollectible and 4.0 % of A/R are uncollectible. December 31, 2017 Age of Accounts Accounts Receivable Over 90 Days 61-90 Days 1-30 Days 31-60 Days 3,000 40% 48,000 Estimated % Uncollectible 7,000 26,000 1% 12,000 12% 4% Prepare the journal entry to estimate bad debt expense assuming: The company uses the % of sales method b. The company uses the % of A/R method The company uses the aging of A/R method 1. a. 2. Prepare the journal entry to write off $800 A/R from Newton Company on March 2, 2018 3. Prepare the journal entries to record collection of $500 from Newton Company on June 5, 2018. C