Mazie Supply Company uses the percent of accounts receivable method. On December 31, it has outstanding accounts receivable of $95,500, and it estimates that 4% 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 $1,624 credit balance before the adjustment. (b) a $478 debit balance before the adjustment. View transaction list No 1 View journal entry worksheet Transaction General Journal Bad debts expense Allowance for doubtful accounts Debit Credit

Mazie Supply Company uses the percent of accounts receivable method. On December 31 , it has outstanding accounts receivable of $95,500, and it estimates that 4% 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 $1,624 credit balance before the adjustment. (b) a $478 debit balance before the adjustment