Exercise 7-8A Accounting for uncollectible accounts: percent of receivables allowance method LO 7-2, 7-3 NOTE: This is year 1, so the beginning balance in the ADA account is $0. HOWEVER, the goal is still to MATCH the ending ADA with the estimated amount of the ending ACCOUNTS RECEIVABLE that is uncollectible. The Uncollectible account expense is always calculated: Beginning ADA - Debits + ? - Ending ADA (which is determined by analyzing the ending Accounts Receivable balance). Vulcan Service Co. experienced the following transactions for Year 1, its first year of operations: 1. Provided $84.000 of services on account. 2. Collected $50,400 cash from accounts receivable. 3. Paid $26.000 of salaries expense for the year. 4. Adjusted the accounts using the following information from an accounts receivable aging schedule: Percent Likely to Be Uncollectible .01 Allowance Balance Number of Days Past Due Current @-30 31-60 61-99 Over 90 days .es Amount $24,864 1,689 2,352 2,016 2,688 .10 .30 .50 Required a. Record the above transactions in general journal form and post to T-accounts. b. Prepare the income statement for Vulcan Service Co. for Year 1. c. What is the net realizable value of the accounts receivable at December 31, Year 12 Complete this question by entering your answers in the tabs below. Required A General Journal Required AT Accounts Required B Required C Record the above transactions in general journal form. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate calculations and final answers to nearest whole dollar.) View transaction list Required A General Required AT Required B Required Journal Accounts Record the above transactions in post to T-accounts. (Round your intermediate calculations and final answers to nearest whol Cash Service Revenue Beg. Bal. Beg Bal. End. Bal. End. Bal. Accounts Receivable Salaries Expense Beg Bal Beg. Bal. End. Bal. End. Bal. Allowance for Doubtful Accounts Uncollectible Acctounts Expense Beg Bal Beg. Bal. End. Bal. End. Bal. Required A General Journal Required B > Required A General Journal Required AT Accounts Required B Required c Prepare the income statement for Vulcan Service Co. for Year 1. (R nearest whole dollar) VULCAN SERVICE CO. Income Statement For the Year Ended December 31, Year 1 Operating expenses Total operating expenses Net realizable value