On December 31, 2020, Corotel Company's year-end, the unadjusted trial balance included the following items: Credit 10 points Account Accounts receivable Allowance for doubtful accounts Sales ($3,120,000 cash sales) Debit $2,130,000 36,000 $12,480,000 eBook Print Required: 1. Prepare the adjusting entry needed in Corotel's books to recognize bad debts under each of the following independent assumptions a. Bad debts are estimated to be 2% of credit sales. b. An analysis suggests that 5% of outstanding accounts receivable on December 31, 2020, will become uncollectible. References