Exercise 9-3 The ledger of G.K. Reid Company at the end of the current year shows Accounts Receivable $133,600, Sales Revenue $847,000, and Sales Returns and Allowances $39,700. (Credit account titles are automatically indented when amo (a) If G.K. Reid uses the direct write-off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming G.K. Reid determines that L. Gaga's $2,400 balance is uncollectible. (b) If Allowance for Doubtful Accounts has a credit balance of $2,900 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be (1) 2% of net sales, and (2) 11% of accounts receivable. ( 1 Allowance or Doubtful Accounts has a debit balance of $240 n the tral balance ournalize he adjusting entry at December 31 assuming bad debts are expected o be %of net sales and 6%of accounts rece a Account Titles and Explanation Debit Credit (b) (1 Exercise 9-11 Record the following transactions for Conando Co. in the general journal. (Record entries in the order displayed in th Received a $27,750, 1-year, 8% note in exchange for Andy Richter's outstanding accounts receivable. May 1 Dec. Accrued interest on the Richter note. 31 Dec. Closed the interest revenue account. 2013 Received principal plus interest on the Richter note. (No interest has been accrued in 2013.) May 1 Account Titles and Explanation Debit Credit Date To record accrued interest on note.) (To close the interest revenue account.)