CC8-1 Accounting for Receivables and Uncollectible Accounts [LO8-2, LO8-4] The following transactions occurred over the months of September to December at Nicole's Getaway Spa (NGS). September Sold spa merchandise to Ashley Welch Beauty for $7,200 on account; the cost of october these goodn to NGs was $3,600, 0ctober Sold merchandise to Kelly Fast Nail Gallery for $1,800 on account; the cost of November Sold merchandise to Raea Gooding Wellness for $1,200 on account; the cost of these goods to NGS was $760. December Received $4,800 from Ashley Welch Beauty for payment on its account. 2. Estimate the Allowance for Doubtful Accounts required at December 31, assuming NGS uses the aging of accounts receivable method with the following uncollectible rates: one month, 2 percent; two months, 6 percent; three months, 20 percent; more than three months, 35 percent. 3. The Allowance for Doubtful Accounts balance was $80 (credit) before the end-of-period adjusting entry was made. Prepare the ournal entry to account for the Bad Debt Expense. Journal entry worksheet Record the entry to account for the Bad Debt Expense. Record the transaction. Note: Lnter debits before credits: 4. Assume the end of the previous year showed net accounts receivable of $830, and net sales for the current year is $24,000. Calculate the accounts recelvable turnover ratio. (Round your answer to 1 decimal place.) 5. Audrey's Mineral Spa has an accounts receivable turnover ratio of 9.0 times. Which company is doing a better job in collecting recelvables from customers? Nicole's Getaway Spa Audrey's Mineral Spa