Entries for Bad Debt Expense Under the Direct Write-Off and Allowance Methods Seaforth International wrote off the following accounts receivable as uncollectible for the year ending Customer Kim Abel Amount $21,550 33,925 Lee Drake Jenny Green 27,565 Mike Lamb 19,460 Total $102,500 The company prepared the following aging schedule for its accounts receivable on December 31: Receivables Balance on December 31 Aging Class (Number of Days Past Due) 0-30 days 31-60 days Estimated Percent of Uncollectible Accounts $715,000 310,000 61-90 days 102,000 91-120 days 76,000 More than 120 days 97,000 Total receivables $1,300,000 a. Journalize the write-offs under the direct write-off method. If an amount box does not require an entry, Bad Debt Expense Accounts Receivable-Kim Abel 102,500 CDC b. Journalize the write-offs and the year-end adjusting entry under the allowance method, assuming that the allowance account had a beginning credit balance of $95,000 on January 1 and the company uses the analysis of receivables method. For a compound transaction, if an amount box does not require an entry, leave it blank. Write-off Adjustment C. How much higher (lower) would Seaforth International's net income have been under the allowance method than under the direct write-off method