Intermediate I Chapter 7 Graded Assignment 5 A trial balance before adjustments for Voit Company at December 31, 2014 included the following: Credit $1,400,000 cbi Sales Accounts receivable Allowance for doubtful accounts 250,000 2,400 Required: 1. Prepare the adjusting entry that would be required under each of the following methods: a. b. c. Bad debts are estimated at 2% of net credit sales. Bad debts are estimated at 8% of gross accounts receivable. Based on aging schedule below Classification by Month of sale November-December 2017 July-October March-June January - February Balance in Each Category 2% $108,000 65,000 42,000 10% 25% 80% 15,000 For each of the methods above (a.b,c) indicate the amount of net accounts receivable that will be reported on the balance sheet at December 31, 2014 after the adjusting entry has been prepared and posted For each of the methods above (a,b,c) indicate whether they are balance sheet or income statement focused 2. 3