Discount Mart utilizes the allowance method of accounting for uncollectible receivables. On December $12$ the company receives a $$530$ check from Chad Thomas in settlement of Thomas's $$1,200$ outstanding accounts receivable. Due to Thomas's failing health he is closing his company and is expecting to make no further payments to Discount Mart. Journalize this declaration.

If an amount box does not require an entry, leave it blank.

Dec. $12$