Copeland Industries has the following transactions related to notes receivable during the last month of the year: Dec 1 Lent $75,000 cash to P. Arthur on a 1-year, 6% note. Interest is due the first of each month, commencing January 1. 15 Sold goods to F. Murdoch, receiving a $12,000, 4-month, 4% note. Interest is due the 15 of each month, commencing January 15. Copeland uses the periodic inventory method. 31 Accrued interest revenue on notes receivable. Dec 1 Dec 15 Dec 31 682 The December 31, 2020 statement of financial position of Ocean Breezes Limited reported Accounts Receivable of $450,000 and the Allowance for Doubtful Accounts of $45,000. During 2018, the following transactions occurred: 1. service revenue billed on account, $1,500,000; 2. collections from customers, $1,300,000; 3. accounts written off $37,000; 4. If the company uses the percentage of receivables basis to estimate bad debts expense and determines that uncollectible accounts are expected to be 5% of accounts receivable. Accounts Receivable equals $613,000 prepare the adjusting entry for bad debts expense at December 31, 2021. t682