I. At December 31, Banana Company reports the following results for its calendar year from the adjusted trial balance. Credit sales Cash sales Accounts Receivable Allowance for doubtful accounts (credit balance) Php 8,100,000 2,350,000 412.000 13,000 Required: Prepare the adjusting entry to record Bad Debts Expense using the following independent methods: a. Sales Method, assuming estimated bad debts is 1% b. Accounts Receivable Method, assuming bad debts is 18% c. Aging of Accounts Receivable, assume the following: 1. 50% are current accounts, estimated uncollectible for current accounts is 1% ii. 30% are over 31 days to 90 days, estimated uncollectible accounts is 20% 20% are over 90 days, estimated uncollectible accounts is 50% 111. II. Lemon Company allows customers to make purchases on credit. The terms of all credit sales are 2/10, n 30, and all sales are recorded at the gross price. Other customers can use a bank credit card where the bank deducts a 4% service charge for credit card sales and credits the bank account of Lemon immediately when credit card receipts are deposited. White uses the perpetual inventory method. June 4 6 8 Sold Php12.000 of merchandise (cost Php 7,000) on credit to Grant Inc.. Sold Php17,000 of merchandise (cost Php 9,350) to Libby Corp. who used a bank credit card, receipts were processed and deposited the same day. Sold Php8.500 of merchandise (cost Php 4,500) on credit to Emma Company Accepted a Php 50,000, 45-day, 6% note dated this day in granting Cory Tam a time extension on his past-due account receivable. Received Grant's check in full payment of the purchase on June 4. Wrote off the account of Z. Westmore against the Allowance for Doubtful Accounts. The Php 1,580 balance stemmed from a credit sale in January Accepted a Php 75,000, 30-day, 10% note dates this day in granting F. Potter a time extension on his past-due account receivable. 10 12 15 20 July 17 20 25 Received the amount previously written-off from Z. Westmore. F. Potter dishonored his note when presented for payment. Received payment of principal plus interest from Cory Tam. Prepare journal entries to record the above selected transactions and events