Daria Bilyau Obitua facebook Net MInbox (29) - kalah... M Easyhanson net Mait Compare the methods of Accounting for uncollectible Recevables Sydparty, a belehone service and supply company, has just completed its fourth year of operations. The direct we off method of recording bad debt expressed during the entire per wat er volume and the amount of uncollectible accounts, the company is considering changing to the allowance method. Information requested as to the effect that an annual provision have had on the amount of the debt expense reported for each of the past four years. It is also considered desirable to know what the balance of Allowance for Doubtful Accounts would have been at the end of following data have been obtained from the accounts Year of Origin of Accounts Receivable written off - Uncollectible Year Sale Uncollectible Accounts written off and 1st $1,100,000 $1,250 $1,250 and 1,500,000 3,100 3,450 $1,650 2,750,000 12,000 3,500 2,750 $5,750 3,400,000 17,050 3,900 5,000 $7,350 Required: 1. Able the desired data Enter a decrease in the amount of expenses negative number and all other amounts as positive numbers Call Systems Company nad Debt Expense Yaar tepene Actually Reported Expense Based on estimate Increase (Decrease) in amount of Expense Balance of Allowance Account, End of Year 2. perence ng the first four years of operation indicated that the receives were the collected within two years or had to be written off as uncollectible. Does the estimate of the appear tot be chance with collectible accounts orginating during the first two years e has been used during the entire period. Because of o the effect that an annual provision of 12% of sales would counts would have been at the end of each year. The