Crane Ltd. has been in business for several years and has the following information for its operations which ended December 31 . 2024: 1. Total sales for the year were $3,440,000, of which 60% were on account. 2. The company estimates that total expected credit losses at December 31,2024 will be $92,880. 3. Crane Ltd. began the year with $650,000 in accounts receivable and a normal credit to the allowance for expected credit losses of $76,000. 4. Crane Ltd. writes off customer accounts that have been outstanding for more than 120 days. During the year, accounts with a carrying amount of $78,000 reached the 120 -day mark and were written off. 5. The company uses a collection agency to try to collect accounts that have been written off. The collection agency was able to collect $25,000 from customers whose accounts had previously been written off. 6. During the year the company collected $1,840,000 of its accounts receivable. Account Titles and Explanation Debit Credit Accounts Receivable 2,064,000 Sales Revenue \begin{tabular}{r} 2,064,000 \\ \hline \\ \hline \end{tabular} Sales Revenue 2,064,000 (To record credit sales) Credit Losses 16,880 Allowance for Expected Credit Losses \begin{tabular}{|r|} \hline \hline \\ \hline \\ \hline \end{tabular} (To recognize the credit losses) Allowance for Expected Credit Losses 78,000 16,880 Accounts Receivable (To write off accounts judged uncollectible) Accounts Receivable 25,000 78,000 Allowance for Expected Credit Losses 25,000 (To reinstate an account that was previously written off) Cash 25,000 Accounts Receivable \begin{tabular}{r} 25,000 \\ \hline \\ \\ \\ \hline \end{tabular} 78,000 Accounts Receivable 16,880 Accounts Receivable To write off accounts judged uncol \begin{tabular}{l} Accounts Receivable \\ \hline Allowance for Expected Credit Losses \\ \hline \end{tabular} \begin{tabular}{rr} \\ 25,000 & \\ & \\ & 25,000 \\ \hline \end{tabular} written off) \begin{tabular}{l} Cash \\ Accounts Receivable \\ \hline \end{tabular} (To record subsequent collection of accounts that were previously written off) Cash 1,840,000 25,000 Cash Accounts Receivable 1,840,000 (To record collection of accounts receivable) Your answer is incorrect. Calculate the Dec. 31, 2024 balances for Accounts receivable and the Allowance for Expected Credit Losses. Accounts receivable $ Allowance for expected credit losses $