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 a. Sold $1,349,900 of merchandise (that had cost $977,500) on credit, terms n/30. b. Wrote off $18,600 of uncollectible accounts receivable. c. Received $666,500 cash in payment of accounts receivable. d. In adjusting the accounts on December 31, the company estimated that 2.00% of accounts receivable would be uncollectible. Year 2 e. Sold $1,557,800 of merchandise (that had cost $1,335,500) on credit, terms n/30. f. Wrote off $32,100 of uncollectible accounts receivable. g. Received $1,236,200 cash in payment of accounts receivable. h. In adjusting the accounts on December 31, the company estimated that 2.00% of accounts receivable would be uncollectible. In adjusting the accounts on December 31, the company estimated that 2.00% of accounts receitable would be uncollectible. Note: Enter debits before credits. Transaction General Journal Credit Debit 13,862 | Bad debts expense Allowance for doubtful accounts R 13,862