Exercise 8-4 ; Credit Sales $762,400; and Sales Returns and Allowances The ledger of Sunland Company at the end of the current year shows Accounts Receivable $76,600 $42,520. and Company sesthe direct write-off method to account for uncolecte le accounts journalize the adjusting entry at December 31, as (e (b) Allowance for Doubtful Accounts has a credit balance of $1,179 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are (c) If Allowance for Doubtful Accounts has a debit balance of $550 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are (Credit account tities are automatically indented when amount is entered. Do not indent manually) f S Company determines that Matisse's $963 balance is uncolectible expected to be 11% of accounts receivable. expected to be t% of accounts receivable. No. Account Titles and Explanation Debit Credit