Indicate whether each statement best describes the allowance method or the direct write-off method Method List 1. When an account is written off, debit Allowance for Doubtful Accounts 2. The write-off of a specific account does not affect net income 3. When an account is written of the debit is to Bad Debts Expense. 4. Does not predict Bad Debts Expense. 5. Accounts receivable on the balance sheet is reported at net realizable value 6. Estimates Bad Debts Expense related to the sales recorded in that period, Net Zero Products, wholesaler of sustainable raw materials, prepares the following aging of receivables analysis D 20 Tota Recounts receivable 167.500 $95.000 $16.500 11.500 13.500 Percent collectible TO 1. Estimate the balance of the Allowance for Doubtful Accounts using the aging of accounts receivable method 2. Prepare the adjusting entry to record bad debts expense assuming the unadjusted balance in the Allowance for Doubtful is a $2.500 credit Complete this question by entering your answers in the tabs below. Required: Required 2 Estimate the balance of the Allowance for Doubtful Accounts using the aging of accounts receivable method. Accounts Percent Estimated receivable uncollectibles Uncollectible Not due 1 to 30 31 to 80 61 to 90 Over 90 Estimated balance of allowance for uncollectibles $ Receptes Required 2 > Accounts receivable Percent uncollectible Total $167.500 $ 55,000 33.000 16.500 1.500 1. Estimate the balance of the Allowance for Doubtful Accounts using the aging of accounts receivable method 2. Prepare the adjusting entry to record bad debts expense assuming the unadjusted balance in the Allowance for Doubtful is a $2,500 credit 13.100 100 Complete this question by entering your answers in the tabs below. Required Required 2 Prepare the adjusting entry to record bad debts expense assuming the unadjusted balance in the Allowance for Doubtful Account $2,500 credit View transaction list Journal entry worksheet Record estimated bad debts assuming that Allowance for Doubtful Accounts has a $2,500 credit balance Note: Enter debit before credits Date General Journal Debit Credit December 31