At December 31, 2021, the end of the annual reporting period, the accounts of Huron Company showed the following:

1. Sales revenue for 2021, $2,950,000, of which one-quarter was on credit.
2. Allowance for doubtful accounts, balance January 1,2021, $22,700 credit.
3. Accounts receivable, balance December 31, 2021 (prior to any write-offs of uncollectible accounts during 2021), $383,400.
4. Uncollectible accounts to be written off, December 31, 2021, $19,800. These accounts are all in the past due over 90 days category.
5. Aging schedule at December 31, 2021, showing the following breakdown of accounts receivable (prior to any write-offs of uncollectible accounts during 2021):

Status	Amount
Not past due	$210,800
Past due 1-60 days	60,000
Past due over 60 days	89,100
Past due over 90 days	23,500

Required:

1. Determine the year-end balance in the allowance for doubtful accounts, assuming the following the bad debt loss rate on aging schedule: not past due, 0.8%; past due 1-60 days, 1.8%; past due over 60 days, 11%; and past due over 90 days, 80%. (Hint: subtract the $19,800 receivables write-off from the past due over 90 days amount) [2 marks]

2. Give the 2021 adjusting entry to record bad debt expense. (2 marks)

	Debit	Credit

3. Show the amount that would be reported on the 2021 statement of financial position relating to net accounts receivable. (2 marks) _________________________