Bryant Company had the following account balances on December 31^st, 2018, before any adjustments.Bryant had $588,500 of sales throughout the year, of which $385,000 were credit sales.

Accounts Receivable $77,250

Allowance for uncollectible accounts 1,750

Required:

1.On December 31^st, Bryant estimated the Allowance for Doubtful Accounts to be 1% of credit sales. What amount would Bryant report as Bad Debt Expense on the Income Statement? What is the ending balance in the Allowance for uncollectible accounts after the adjustment? What amount would Bryant report as Net Receivables on the Balance Sheet? Show your work for ALL parts.

2.Compute Bryant's Receivables Turnover Ratio and Days Sales Outstanding. What do these ratios tell us about Bryant's management of their receivables? (Use the end-of- net receivables and credit sales for your ratios).

3.On December 31, 2018 Bryant does an aging of receivables and determines that $500 of the receivables will not be collected. How would they record this write-off? (You can either explain which accounts will increase/decrease, show with a journal entry or map it on a Financial Statements Effects Template.)

4.What will Bryant report as net receivables AFTER the write-off?

5.Bryant sells goods with the discount terms 2/15, n30. What does this mean? What is the primary reason that sellers would do this