Exercise 7-6 Percent of sales method; write-off LO P3 At year end (December 31). Chan Company estimates its bad debts as 0.20% of its annual credit sales of 5909,000. Chan records its Bod Debts Expense for that estimate On the following February 1, Chan decides that the 5455 account of P Park is uncollectible and writes it off as a bad debt On June 5, Park unexpectedly pays the amount previously written off Prepare Chan's journal entries for the transactions