CP8-1 (Algo) Recording Accounts Receivable Transactions Using Two Estimation Methods [LO 8-2] JP Samuel Systems, is a software development company that recently reported the following amounts (in thousands) in its unadjusted trial balance as of February 28,2019. Required: 1. Assume JP Samuel uses 1/4 of 1 percent of revenue to estimate its bad debt expense for the year. Prepare the adjusting journal entry required at February 28 for recording Bad Debt Expense. 2. Assume instead that JP Samuel uses the aging of accounts receivable method and estimates that $6,200 (thousand) of Accounts Receivable will be uncollectible. Prepare the adjusting journal entry required at February 28 for recording bad debt expense. TIP: The aging of accounts receivable method focuses on calculating what the adjusted Allowance for Doubtful Accounts balance should be. You need to consider the existing balance when determining the adjustment. 3. Assume that the unadjusted balance in JP Samuel's Allowance for Doubtful Accounts at February 28 was a debit balance of $1,240 (thousand). JP Samuel uses the aging of accounts receivable method and estimates that $6,200 (thousand) of Accounts Receivable will be uncollectible. Prepare the adjusting journal entry required at February 28 for recording bad debt expense. 4. If one of JP Samuel's customers declared bankruptcy, what journal entry would be used to write off its $620 (thousand) balance? Complete this question by entering your answers in the tabs below. Assume JP Samuel uses 1/4 of 1 percent of revenue to estimate its bad debt expense for the year. Prepare the adjusting journal entry required at February 28 for recording Bad Debt Expense. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in whole dollars, rather than in thousands of dollars (e.g. \$4 would be entered as \$4,000).)