Doubtful Debts - ageing method (GST inclusive) On 1 June, McLean, Roberts and Associates had Accounts Receivable and Allowance for Doubtful Debts accounts as set out below. Accounts Receivable 1/6 Balance 931 700 Allowance for Doubtful Debts 1/6 Balance 12 250 During June, the following transactions occurred: 1. Fees earned on credit, $1 320 000. 2. Fees refunded, $27 500. 3. Accounts receivable collected, $1 595 000. 4. Accounts written off as uncollectable, $16214. Based on an ageing of accounts receivable on 30 June, the firm decided that the Allowance for Doubtful Debts account should have a credit balance of $13 000 on the balance sheet as at 30 June Required: Prepare general journal entries to record the four transactions above, and to adjust the Allowance for Doubtful Debts account. On 29 July, Blundell Ltd, whose $2057 account had been written off as uncollectable in June, paid its account in full. Prepare general journal entries to record the collection. B