B. During 2023, GERBERA Company had the following transactions involving its accounts receivable and allowance for bad debts: 1. Accounts amounting to P420,000 were written off. 2. P140,000 recoveries of accounts previously written-off. 3. Credit sales amounted to P10,000,000 4. Allowance for bad debts, beginning P540,000 5. Accounts Receivable, Dec 31P6,000,000 Required: Under each of the following independent methods, determine the (a) bad debts expense; (b) allowance for bad debts; and (c) net realizable value of accounts receivable: 1. Percentage of sales method, 2% credit sales. 2. Accounts receivable method using 5% of outstanding accounts receivable. 3. Aging of sales method using the following breakdown of AR balance