cpB-1 Recording Accounts Receivable Transactions Using Two Estimation M ethods [LO 8-2] the following amounts (In thousands) in its unadjusted trial A?lowance for Doubtful Accounts 96? 162,312 (For all requirements, enter your answers in whole dollars.) 1. Assume Red Hat uses 1/2 of 1 percent of revenue to estimate its bad debt expense for the year. Prepare the adjusting journal entry required at February 29 for recording Bad Debt Expense. 2. Assume instead that Red Hat uses the aging of accounts receivable method and estimates that $1,023 (thousand) of Accounts Recelvable will be uncollectible. Prepare the adjusting journal entry required at February 29 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 Red Hat's Allowance for Doubtful Accounts at February 29 was a debit balance of $1,850 (thousand). Red Hat uses the aging of accounts receivable method and estimates that $960 (thousand) of Accounts Recelvable will be uncollectible. Prepare the adjusting journal entry required at February 29 for recording bad debt expense. 4. If one of Red Hat's customers declared bankruptcy. what journal entry would be used to write off its $10,000 (thousand) balance? Complete this question by entering your answers in the tabs below Assume Red Hat uses 1/2 of 1 percent of revenue to estimate its bad debt expense for the year. Prepare the adjusting journal entry required at February 29 for recording Bad Debt Expense. (If no entry is required for a transaction/event, select No in the first field.) Journal entry worksheet Record the entry for bad debt expenses under the percentage of credit sales