on Credit Sales Lowland Company uses the allowance method of handing credit losses. It estimates losses at two percent of credit sales which were $1,400,000 during the year. On December 31, the Accounts Receivable balance was $280,000, and the Allowance for Doubtful Accounts had a credit balance of $2,100 before adjustment a. Prepare the adjusting entry to record the credit losses for the year to show how Accounts Receivable and the Allowance for Doubtful Accounts would appear in the December 31 balance sheet General Journal Date Description Dec 31 Bad Debt Allowance for Doubtful counts. To record allowance for credits 28.000 O Credit 0 2300 b. Do not use negative suns with your answers) Current Assets Accounts Receivable Less Allowance for Doubtful Accounts 280.000 30,100 338.100 M Check