Exercise #1 (10 Marks): The October 31, 2018 balance sheet of JDS Limited had Accounts Receivable of $480,000 and a credit balance in Allowance for Doubtful Accounts of $32,000. During 2019, the following transactions occurred: service revenue billed to customers on account, $1,500,000 and cash collections from customers on account, $1,550,000. The company wrote off overdue account receivables of $44,000 on October 9 and collected $3,000 from a previously written off account on October 19. Instructions a) Record the 2019 transactions. b) Determine the year end balances in Accounts Receivable and Allowance for doubtful accounts. c) If the company uses percentage of receivables to estimate bad debts expense and determines that uncollectible accounts are expected to be 6% of accounts receivable, what is the adjusting entry at year end, October 31, 2019