Here is Information related to Corp for $2022.$

Instructions

$($a$)$ What amount of bad debt expense will Corp. report if it uses the direct write$-$off

method of accounting for bad debts?

Bad Debt Expense $$=$

$($b$)$ Assume Corp. uses "percentage of sales" basis for bad debt. Corp. assumes that $2\%$

of credit sales will become uncollectible. What amount of bad debt expense will corp

record if the "Allowance ${?}^n$ account has a credit balance of $$3,000?$

Bad Debt Expense $$=$

$($c$)$ Assume Corp. uses "percentage$-$of$-$receivables" basis to record bad debt expense and

concludes that $5\%$ of accounts receivable will become uncollectible. What amount of

bad debt expense will Corp. record if "Allowance" has a credit balance of $$4,000?$

Bad Debt Expense $$=$

$($d$)$ Assume the same facts as in $),$ except that there is a $$2,000$ debit balance in the

"Allowance" account. What amount of bad debt expense will Corp record?

Bad Debt Expense $$=$

$($e$)$ What are the TWO major weakness of using the direct write$-$off method for bad debt?