Allarco Inc, uses the allowance method to account for uncollectible accounts receivable. Allowance for doubtful accounts shows an unadjusted debit balance of $$100$ at year$-$end, May $31,2024$ while the accounts receivable account shows a balance on the same date of $$3,000.$ Allarco Inc. estimates that $2\mathrm{.}30\%$ of net credit sales are uncollectible based on past experience. Net sales for the year ended May $31,2024$ were $$50,000,$ of which $\frac{1}{5}$ were on credit. Record the adjusting entry at May $31,2024$ to estimate bad debt expense.

Chart of Accounts

Bad Debts Expense

AFDA

Net Realizable Accounts Receivable

General Journal

Page GJ$1$

Date

Account$/$Explanation

F

Debit

Credit

To record the adjustment estimating bad debt expense.

What is the amount that will appear on the May $31,2024$ balance sheet as:

A$.)$ AFDA

B$.)$ Net Realizable Accounts Receivable

What is the amount that will appear as a bad debt expense on the income statement for the year ended May $31,2024?$

Please answer all parts of the question.