At January $1,2024,$ Mountaintop Flagpoles had Accounts Receivable of $$29,000,$ and Allowance for Bad Debts had a credit balance of $$4,000.$ During the year, Mountaintop Flagpoles recorded the following transactions for January:

$($Click the icon to view the transactions.$)$

Read the requirements.

Requirement $1.$ Journalize Mountaintop's transactions that occurred during January. The company uses the allowance method. $($Record debits first, then credits. Select the explanation on the last line of the journal entry table.$)$

$($a$.)$ Sales of $$175,000($ $$159,000$ on account; $$16,000$ for cash$).$ Ignore Cost of Goods Sold. $($Prepare a single compound journal entry.$)$

$\backslash$table$[[$Date$,$Accounts and Explanation,Debit,Credit$],[2024,,,],[,,,]]$

Requirements

Journalize Mountaintop's transactions that occurred during January. The company uses the allowance method.

Post Mountaintop's transactions to the Accounts Receivable and Allowance for Bad Debts T$-$accounts.

Journalize Mountaintop's adjustment to record bad debts expense assuming Mountaintop estimates bad debts as $10\%$ of accounts receivable on January $31,2024.$ Post the adjustment to the appropriate T$-$accounts.

Show how Mountaintop Flagpoles will report net accounts receivable on its January $31,2024,$ balance sheet.