Calculate the total estimated bad debts based on the above information. (b) Prepare the year-end adjusting journal entry to record the bad debts using the allowance, method and the aged uncollectible accounts receivable determined in (a). Assume the unadjusted balance in Allowance for Doubtful Accounts is a exist7,000 credit. (c) Of the above accounts, exist2, 600 is determined to be specifically uncollectible. Prepare the journal entry to write off the uncollectible accounts. (d) The company subsequently collects exist1, 200 on a specific account that had previously been determined to be uncollectible in (c). Prepare the journal entry(ies) necessary to restore the account and record the cash collection. (e) Explain how establishing an allowance account satisfies the expense recognition principle. At December 31, 2013, Dustin Company reported this information on its balance sheet. Accounts receivable exist960,000 Less: Allowance for doubtful accounts 78,000 During 2014, the company had the following transactions related to receivables. Sales on account exist3, 600,000 Sales returns and allowances 150,000 Collections of accounts receivable 3, 100,000 Write-offs of accounts receivable deemed uncollectible 92,000 Recovery of bad debts previously written off as uncollectible 28,000