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Liang Company began operations in Year 1 . During its first two years, the company completed a number of transactions involving sales on credit, accounts

Liang Company began operations in Year 1. During its first two years, the company completed a number of transactions involving sales on credit, accounts receivable collections, and bad debts. These transactions are summarized as follows.
Year 1
Sold $1,345,434 of merchandise on credit (that had cost $975,000), terms n/30.
Wrote off $18,300 of uncollectible accounts receivable.
Received $669,200 cash in payment of accounts receivable.
In adjusting the accounts on December 31, the company estimated that 1.5% of accounts receivable would be uncollectible.
Year 2
Sold $1,525,634 of merchandise on credit (that had cost $1,250,000), terms n/30.
Wrote off $27,800 of uncollectible accounts receivable.
Received $1,204,600 cash in payment of accounts receivable.
In adjusting the accounts on December 31, the company estimated that 1.5% of accounts receivable would be uncollectible.
Required:
Prepare journal entries to record Liangs Year 1 and Year 2 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system, and it applies the allowance method for its accounts receivable.)
Note: Round your intermediate calculations to the nearest dollar.

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