Journalize entries to record allowance for doubtful accounts using two different bases. E8.5 (LO 2), AP The ledger of Macarty Company at the end of the current year shows Accounts Receivable $78,000, Credit Sales $810,000, and Sales Returns and Allowances $40,000. Instructions a. If Macarty uses the direct write-off method to account for uncollectible accounts, journalize the entry at December 15 if Macarty determines that Matisse's $900 balance is uncollectible. b. If Allowance for Doubtful Accounts has a credit balance of $1,100 in the trial balance, journalize the adjusting entry at December 31, assuming uncollectibles are expected to be 10% of accounts receivable. c. If Allowance for Doubtful Accounts has a debit balance of $500 in the trial balance, journalize the adjusting entry at December 31, assuming uncollectibles are expected to be 8% of accounts receivable. 1. 2. 4. Prepare journal entries related to bad debt expense, and compute ratios. P8.1A (LO1, 2, 4), AP At December 31, 2021, Suisse Imports reported this information on its balance sheet. Accounts receivable $600,000 Less: Allowance for doubtful 37,000 accounts During 2022, the company had the following transactions related to receivables. Sales on account $2,500,000 Sales returns and 50,000 allowances 3. Collections of 2,200,000 accounts receivable Write-offs of accounts 41,000 receivable deemed uncollectible 5. Recovery of accounts 15,000 previously written off as uncollectible Instructions a. Prepare the journal entries to record each of these five transactions. Assume that no cash discounts were taken on the collections of accounts receivable. (Omit cost of goods sold entries.) b. Enter the January 1, 2022, balances in Accounts Receivable and Allowance for Doubtful Accounts, post the entries to the two accounts (use T-accounts), and determine the balances. b. A/R bal. $809,000 c. Prepare the journal entry to record bad debt expense for 2022, assuming that aging the accounts receivable indicates that estimated uncollectibles are $46,000. d. Compute the accounts receivable turnover and average collection period. c