Mazie Supply Co. uses the percent of accounts receivable method. On December 31, it has outstanding accounts receivable of $73,000, and it estimates that 3% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $1,241 credit balance before the adjustment. (b) a $365 debit balance before the adjustment. View transaction list Journal entry worksheet 1 2 Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has a $1,241 credit balance before the adjustment. Note: Enter debits before credits Transaction General Journal Debit Credit (a) Record entry Clear entry View general Journal Ch Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $1.241 credit balance before the adjustment. (b) a $365 debit balance before the adjustment. View transaction list Journal entry worksheet