$$

At January $1,2024,$ Penny Worth Inc. reported the following information on its statement of financial position:

Accounts receivable

$$490,000$

Allowance for expected credit losses

$44,000$

During $2024,$ the ompany had the following summary transactions for receivables:

Sales on account, $$1,980,000$; cost of goods sold, $$1,148,400$; return rate of $6\%$

Selling price of goods returned, $$74,000$; cost of goods returned to inventory, $$42,920$

Collections of accounts receivable, $$1,600,000$

Write$-$offs of accounts receivable deemed uncollectible, $$53,000$

Collection of accounts previously written off as uncollectible, $$11,000$

After considering all of the above transactions, total estimated uncollectible accounts, $$34,00$

Account Titles and Explanation

Debit

Credit

$($To recard sales$)$

Estimated Inventory Returns

$($To record cost of goods sold$)$

$2.$

$($To record sales returns$)$