At December 31, 2017, Golden Valley Imports Inc. reported this information on its balance sheet. Accounts receivable Less: Allowance for doubtful accounts $610,000 42,000 During 2018, the company had the following summary transactions related to receivables and sales. Golden Valley uses the perpetual inventory system. 1. Sales on account amounted to $2,520,000. The cost of the inventory sold was $1,990,800. 2. Sales returns and allowances with a total sales price of $38,000 and a cost of $30,020 were restored to inventory. 3. Collections of accounts receivable were $2,244,000. 4. Write-offs of accounts receivable deemed uncollectible, $46,900. 5. Recovery of bad debts previously written off as uncollectible, $15,000. Enter the January 1, 2018, balances in Accounts Receivable and Allowance for Doubtful Accounts, post the entries to the two accounts (use T accounts), and determine the balances before any year-end adjustments. (Post entries in the order of journal entries presented in the previous question.) Accounts Receivable 2 2 Allowance for Doubtful Accounts A