Exercise 7-7 Sage Company reports the following financial information before adjustments. Dr. Cr. Accounts Receivable $140,500 $3,730 Allowance for Doubtful Accounts Sales Revenue (all on credit) 816.400 Sales Returns and Allowances 53,360 Prepare the journal entry to record bad debt expense assuming Sage Company estimates bad debts at (a) 4% of accounts receivable and (b) 4 of accounts receivable but Allowance for Doubtful ired, se Entry" for the account titles and enter the amounts. Credit account titles are automatically indented when the amount is entered, Do not indent manually,) Debit Credit No. Account Titles and Explanation (a) (b) Open Show Work Click if you would like to Show Work for this