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 $5,400 on account; the cost of October these goods to NGS was $2,7e0. October Sold nerchandise to Kelly Fast Nail Gallery for $1,350 on-account; the cost of Novenber Sold merchandise to Raea Gooding Wellness for $900 on account; the cost of these Decenber Received $3,680 from Ashley Welch Beauty for paynent on its account. Required: 1. Prepare journal entries for each of the transactions. Assume a perpetual inventory system. (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet 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 balence was $70 (credit) before the end-of-period adjusting entry was made. Prepare the journal entry to account for the Bad Debt Expense. Journal entry worksheet Record the entry to account for the Bad Debt Expense. Record the transaction. Notei finter debits before creats: 4. Assume the end of the previous year showed net accounts receivable of $820, and net sales for the current year is $19,000. Calculate the accounts receivable 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? Audrey's Mineral Spa Nicole's Getaway Spa