On August 31, 2018, divine floral supply had $155,000 debit balance accounts receivable and a $6200 credit balance in allowance for the bad debts. During September, divine made on August 31, 2018, divine floral supply had $155,000 debit balance in Accounts Receivable and $86,200 credit balance in allowance for bad debt. During September, divine made:

sales on account, $520,000. Ignore cost of good sold

Collections on account $582,000

write offs of uncollectible receivables, $6000

4 of 4 (0 complete) Requirements 1. Journalize all September entries using the allowance method. Bad debts expense was estimated at 2% of credit sales. Show all September activity in Accounts Receivable, Allowance for Bad Debts, and Bad Debts Expense (post to these T-accounts) 2. Using the same facts, assume that Divine used the direct write-off method to account for uncollectible receivables. Journalize all September entries using the direct wnte-off method. Post to Accounts Receivable and Bad Debts Expense, and show their balances at September 30, 2018 3. What amount of Bad Debts Expense would Divine report on its September income statement under each of the two methods? Which amount better matches expense with revenue? Give your reason. PrintDone