From inception of operations to December 31, 2017, Harris Corporation provided for uncollectible accounts receivable under the allowance method. Provisions were made monthly at 2 percent of credit sales; bad debts written off were charged to the allowance account; recoveries of bad debts previously written off were credited to the allowance account; and no year-end adjustments to the allowance account were made. Harris's usual credit terms are net 30 days.

The credit balance in the allowance for doubtful accounts was $260,000 at January 1, 2017. During 2017, credit sales totaled $18,000,000, interim provisions for doubtful accounts were made at 2 percent of credit sales, $180,000 of bad debts were written off, and recoveries of accounts previously written off amounted to $30,000.

Harris installed a computer system in November 2017 and an aging of accounts receivable was prepared for the first time as of December 31, 2017. A summary of the aging is as follows:

Classifications by	Balance in	Estimated %
Month of Sale	Each Category	Uncollectible
November-December 2017	$2,280,000	2%
July-October 2017	1,200,000	15%
January-June 2017	800,000	25%
Prior to January 1, 2017	260,000*	80%

*Based on the review of collectability of the account balances in the "Prior to January 1, 2017" aging category, additional receivables totaling $120,000 were written off on December 31, 2017 meaning that of the $260,000 in this aging category, $120,000 was written off on December 31, 2017. The "Prior to January 1, 2017" aging category has an ending balance, after the write offs, of $140,000.

Effective with the year ended December 31, 2017, Harris adopted a new accounting method for estimating the allowance for doubtful accounts at the amount indicated by the year-end aging analysis of accounts receivable.

Required:

(a)	Prepare a T-account that analyzing the changes in the allowance for doubtful accounts for the year ended December 31, 2017.
(b)	Prepare the journal entry for the year-end adjustment to the allowance for doubtful accounts balance as of December 31, 2017.
(c)	What is the estimated net realizable value at December 31, 2017 after all the adjusting entries have been made?