Great Outdoors Ltd sells outdoor furniture settings on credit. The accounting records at 30 June 2019 reveal the following. Ignore GST. Credit sales (for year) Credit sales returns and allowances (for year) Accounts receivable (balance 30 June 2019) Allowance for doubtful debts (credit balance 30 June 2019) $835,000 70,000 254,500 1,000 In the past, the company's yearly bad debts expense had been estimated at 2% of net credit sales revenue. It was decided to compare the current method with an ageing of the accounts receivable method. The following analysis was obtained with respect to the accounts receivable: Balance Accounts not yet due Accounts overdue: 10-30 days 31-60 days 61-120 days 121 days and over % estimated uncollectable 1/2 2 10 $137,000 47,600 34,300 19,800 15,800 $254,500 25 40 Prepare the journal entries to adjust the allowance for doubtful debts at 30 June 2019 under: 1. the net credit sales method 2. the ageing of accounts receivable method. (Enter debit entries first, followed by credit entries. Credit account titles are automatically indented when the ar decimal places, e.g. 5,275.) Great Outdoors Ltd General journal (extract) Net credit sales method Date Particulars Debit 2019 June 30 Bad debts expense 15300 Credit 15300 Allowance for doubtful debts (Allowance made on 2% of net credit sales) 2019 Allowance for doubtful debts (Net credit sales method) 2019 30/6 Balance 1000 30/6 Balance c/d 16300 30/6 Adjusting 15300 16300 16300 30/6 Balance b/d 16300 Allowance for doubtful debts (Ageing of accounts receivable method) 2019 2019 1000 30/6 Balance c/d 16337 30/6 Adjusting 15337 16337 16337 30/6 Balance b/d 16337 Assume that the allowance account had a debit balance of $660 at 30 June 2018. Show the journal entries to record the allowance for doubtful debts at 30 June 2019 under: 1. the net credit sales method 2. the ageing of accounts receivable method. (Enter debit entries first, followed by credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Great Outdoors Ltd General journal (extract) Net credit sales method Debit Date Particulars Credit June 30 + (Allowance made on 2% of net credit sales) Great Outdoors Ltd General Journal (extract) Ageing accounts receivable method Debit Date Particulars Credit June 30 (Allowance made on ageing of accounts receivable)