Mountain Corp. is a manufacturing company for mountain bikes. Given the current economic downturn, the Company is having increased trouble collecting its accounts receivable from retailers. The total sales for the year were $860,000. Of these sales, $800,000 were credit sales. Allowance for Doubtful Accounts is at a credit balance of 4,000. The company uses the Aging Accounts receivable method (Balance Sheet Approach) You were provided the following additional information: Age of Accounts Estimated Percent Receivable Current Accounts 1-30 days 31-60 Amount Uncollectible $100,000 2% 88,000 4% 17,000 6% 61-90 24,000 22% Over 90 days 8,000 42% Total Accounts Receivable $237.000 Paragraph AaBbCc AaBbCc AaBbC AaBbCct AaB 1 Normal 1 No Spac... Heading 1 Heading 2 Title Styles c) Record the adjusting journal entry at December 31, 2020 (3 Marks) Date Calculations: Account Debit Credit d) Assume now that the company uses the Income Statement approach. The Company believes that 1.5% of net credit sales will be bad debts. Prepare the adjusting journal entry at December 31, 2020 using the Percentage of Sales method. (4 Marks) Date Calculations: Account Debit Credit