At 12/31/16, ABC Company had the following balances:

DebitCredit

Accounts Receivable$182,000

Allowance for Doubtful Accounts $16,500

During 2017 the following transactions occurred:

Accounts receivable of $138,000 were collected, including accounts of $60,000 on which 2% of sales discounts was allowed. The company uses the gross method to record sales made on credit.

Several customers notified ABC of bankruptcy, and ABC wrote off the accounts in the amount of $17,500.

ABC received $5,300 in payment for an account previously written off.

At year end, management used the balance sheet approach and an analysis of aged accounts receivable and estimated that uncollectible receivables totaled $20,000.

Using the attached T-account template, prepare the entries to recognize the above economic events.