Check my we E8-3 Recording, Reporting, and Evaluating a Bad Debt Estimate Using the Percentage of Credit Sales Method [LO 8-2] During the year ended December 31, 2018, Kelly's Camera Shop had sales revenue of $215,000, of which 5107500 was on credit. At the start of 2018, Accounts Receivable showed a $11,000 debit balance and the Allowance for Doubtful Accounts showed a $690 credit balance Collections of accounts receivable during 2018 mounted to $77000 Data during 2018 follow a On December 10, a customer balance of $1,950 from a prior year was determined to be uncollectible, so it was written off b. On December 31, a decision was made to continue the accounting policy of basing estimated bad debt losses on 2 percent of credit sales for the year Required: 1. Give the required journal entries for the two events in December 2. Show how the amounts related to Accounts Receivable and Bad Debt Expense would be reported on the balance sheet and income statement for 2018 3. On the basis of the data available, does the 2 percent rate appear to be reasonable? Complete this question by entering your answers in the tabs below. View transaction list Journal entry worksheet Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req3 Show how the amounts related to Bad Debt Expense would be reported on the income st Kelly's Camera Shop Income Statement (partial) Year ending December 31, 2018 Operating Expenses: Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Req 2B Reg 3 Show how the amounts related to Accounts Receivable would be reported on the balance sheet? Kelly's Camera Shop Balance Sheet (partial) At December 31, 2018 Current Assets Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Reg 3 On the basis of the data available, does the 2 percent rate appear to be reasonable? Does the 2 percent rate appear to be reasonable? ( Req 2B Req3