At December 31 of the current year, Mars Company had a balance of $728,000 in its Accounts Receivable account and a credit balance of $6,000 in the Allowance for Doubtful Accounts. The company has aged its accounts as follows:

Current	$592,000
0-60 days past due	64,000
61-180 days past due	48,000
Over 180 days past due	24,000
	$728,000

In the past, the company has experienced losses as follows: 1% of current balances, 5% of balances 0-60 days past due, 15% of balances 61-180 days past due, and 30% of balances over 180 days past due. The company bases its bad debts expense on the aging analysis.

Required:

1. Prepare the adjusting journal entry to record the bad debts expense for the year.
2. Show how Accounts Receivable and the Allowance for Doubtful Accounts would appear in the December 31 balance sheet.
3. On January 15 of the subsequent year, Mars Company wrote off the account of Ares, $2,400. Give the entry for the write-off.