Credit Losses Based on Accounts Receivable At December 31, Schuler Company had a balance of $369,000 in its Accounts Receivable account and a credit balance of $4,200 in the Allowance for Doubtful Accounts account. The accounts receivable T-account consisted of $374,000 in debit bal- ances and $5,000 in credit balances. The company aged its accounts as follows Current.. $304,000 44,000 18,000 8,000 $374,000 In the past, the company has experienced credit losses as follows: one percent of current balances, five percent of balances 0-60 days past due, 18 percent of balances 61-180 days past due, and 40 percent of balances over six months past due. The company bases its allowance for doubtful accounts on an aging analysis of accounts receivable. Requiread a. Prepare the adjusting entry to record the allowance for doubtful accounts for the year. h. Show how Accounts Receivable (including the credit balances) and the Allowance for Doubtful Accounts would appear on the December 31 balance sheet. Allowance Method The Huntington Company, which has been in business for three years, makes all of its sales on account and does not offer cash discounts. The fim's credit sales, collections from customers, and write-offs of uncollectible accounts for the three-year period are summarized below: Sales Collections Accounts Written Off Year $574,000 760,000 814,000 $4,200 6,900 7,300 $600,000 2015 2016 2017 770,000 850,000 Required a. If the Huntington Company had used the allowance method of recognizing credit losses and had provided for such losses at the rate of 1.3 percent of credit sales, what amounts in Accounts Receivable and the Allowance for Doubtful Accounts would appear on the firm's balance sheet at the end of 2017? What total amount of bad debts expense would have appeared on the firms income statement during the three year period