In its first year of operations, Cloudbox has credit sales of $$234,000.$ Its year$-$end balance in accounts recelvable is $$13,400,$ and the

company estimates that $$3,200$ of its accounts recelvable is uncollectible.

a$.$ Prepare the year$-$end adjusting entry to estimate bad debts expense.

b$.$ Prepare the current assets section of Cloudbox's classified balance sheet assuming Inventory is $$30,500,$ Cash is $$22,500,$ and

Prepald Rent is $$3,850.$ Note: The company reports Accounts recelvable, net on the balance sheet.

Complete this question by entering your answers in the tabs below.

Prepare the year$-$end adjusting entry to estimate bad debts expense.

Journal entry worksheet

$1$

Record the year$-$end adjusting entry to estimate bad debts expense.

Note: Enter debits before credits.