Chapter 9 Homework Book Show Me How Calculator Print Item Entries for Bad Debt Expense under the Direct Write-Off and Allowance Methods The following selected transactions were taken from the records of Shipway Company for the first year of its operations ending December 31: Apr. 13. Wrote off account of Dean Sheppard, $2,850. May 15. Received $1,430 as partial payment on the $3,790 account of Dan Pyle. Wrote off the remaining balance as uncollectible. July 27. Received $2,850 from Dean Sheppard, whose account had been written off on April 13. Reinstated the account and recorded the cash receipt Dec. 31. Wrote off the following accounts as uncollectible (record as one journal entry): Paul Chapman $1,910 Duane DeRosa 1,430 Teresa Galloway 860 1,200 Marty Richey 430 Emie Klatt Dec. 31 If necessary, record the year-end adjusting entry for uncollectible accounts For those amount boxes in which no entry is required, leave the box blank If an entry not required, select 'No entry from the dropdown boxes). a. Journalize the transactions under the direct write-off method Apr. 13 Chapter 9 Homework eBook Show Me How Calculator Print tem For those amount boxes in which no entry is required, leave the box blank. If an entry is not required, select "No entry from the dropdown boxes). a. Journaltze the transactions under the direct write-off method. Apr. 13 May 15 July 27-reinstate QUID I III July 27-collection Dec 31 writol perwork Book Show Me How Calculator Print om II Dec 31-adjusting b. Journalize the transactions under the allowance method. Shipway Company uses the percent of credit sales method of estimating uncollectible accounts expense. Based on past history and industry averages, 3% of credit sales are expected to be uncollectible. Shipway Company recorded $464,100 of credit sales during the year Apr. 13 May 15 July 27reite July 27-collection Chapter 9 9 Homework eBook Show Me How Calculator Print Item July 27-reinstate July 27-collection DI | 801 Dec. 31-write-o Dec 31-adjusting C. How much higher Clower) would Shiway Company's net income have been under the direct writt-ot method than under the allowance method? by