E8-3 Recording, Reporting, and Evaluating a Bad Debt Estimate using the Percentage of Credit Sales Method [LO 8-2] During the year ended December 31, 2015, Kelly's Camera Shop had sales revenue of $165,000, of which $82,500 was on creditAt the start of 2015, Accounts Receivable showed a $12,000 debit balance and the Allowance for Doubtful accounts showed a $590 credit balance. Collections of accounts receivable during 2015 amounted to $67,000 Data during 2015 follow: a. On December 10, a customer balance of $1,450 from a prior year was determined to be uncollectible, so it was written off. b. On December 31, a decision was made to continue the accounting policy of basing estimated bad debt losses on 2 percent of credit sales for the year Required: 1. Give the required journal entries for the two events in December(If no entry is required for a transaction/event, select "No Journal entry required" in the first account field.) View transaction list View journal entry worksheet No Date General Journal Debit Credit , PT1 Dec. 10, 2015 Allowance for Doubtful Accounts Accounts Receivable 14500 1,450 1,650 S 2 Dec. 31, 2015 Bad Debt Expense Allowance for Doubtful Accounts 1,650 2. Show how the amounts related to Accounts Receivable and Bad Debt Expense would be reported on the balance sheet and income statement for 2015. Kelly's Camera Shop Balance Sheet (partial) At December 31, 2015 Current Assets: Allowance for Doubtful Accounts Accounts Receivable, net of Allowance