Module 7 Homework Use complete sentences, Show and label all work to receive any credit for the homework 4. Uncollectible Accounts-An analysis of Bill Melater's company accounts receivable reveals the following information: Accounts Receivable Accounts: Not yet due 1-30 days overdue 31-60 days overdue More than 60 days overdue $152,500 37,200 24,800 19,700 Bill's estimates of uncollectible accounts are one percent for those accounts not yet due, two percent for those 1-30 days overdue, five percent for those 31-60 days overdue, and ten percent for those more than 60 days overdue. The allowance for doubtful accounts has a debit balance of $600 before the adjusting entry is made. Cash sales for the period amounted to $12,000 and credit sales amounted to $100,000 a. Use the Balance Sheet approach to determine the necessary adjusting entry at the end of the current period. b. How will the Balance Sheet presentation appear under this approach? c. Prepare the journal entry to write off a specific customer's account amounting to $100. d. Determine if writing off a specific customer's account has any affect on the NRV of Accounts Receivable. e. Describe what the results would be for this problem if management were to use the Income Statement approach and that past experience indicates that 3.5% of credit sales are not collectible