Exercise 9-7 Percent of accounts receivable method LO P3 Mazle Supply Co. uses the percent of accounts receivable method. On December 31, it has outstanding accounts recelvable of $144,000, and it estimates that 4% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $2,448 credit balance before the adjustment. b) a $720 debit balance before the adjustment View transaction list Journal entry worksheet