Credit Losses Based on Accounts Recelvable At December 31, the Selling Company had a balance of $729,800 in its Accounts Receivable account and a credit balance of $8,400 in the Allowance for Doubtful Accounts account. The accounts receivable T-account consisted of $740,000 in debit balances and $10,200 in credit balances. The company aged its accounts as follows: Current $606,000 84,000 61-180 days past due 34,000 Over 180 days past due16,000 $740,000 0-60 days past due In the past, the company has experienced credit losses as follows: 1% of current balances, 5% of balances 0-60 days past due, 15% of balances 61-180 days past due, and 40% of balances over six months past due. The company bases its allowance for doubtful accounts on an aging analysis of accounts receivable. Required a. Prepare the adjusting entry to record the allowance for doubtful accounts for the year b. Show how Accounts Receivable (including the credit balances) and the Allowance for Doubtful Accounts would appear on the December 31 balance sheet. a. General Journal Date Description Debit Credit Required a. Prepare the adjusting entry to record the allowance for doubtful accounts for the year. b. Show how Accounts Receivable (including the credit balances) and the Allowance for Doubtful Accounts would appear on the December 31 balance sheet. a. General Journal Date Description Debit Credit Dec.31 To record allowance for credit losses. b. (Do not use negative signs with your answers.) Current Assets: Current Liabilities: Customers' Overpayments Please answer all parts of the