During the current year, Sun Electronics, Incorporated, recorded credit sales of $770,000. Based on prior experience, it estimates a 1 percent bad debt rate on credit sales.

Required:

Prepare journal entries for each transaction: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

a. On November 13 of the current year, an account receivable for $410 from a prior year was determined to be uncollectible and was written off. Record the entry to write-off the uncollectible account.

b. At year-end, the appropriate bad debt expense adjustment was recorded for the current year. Record the entry for bad debt expense.