On December 31 of the current year, a company's unadjusted trial balance included the following account balances:

Sales $1,170,000 credit

Accounts Receivable $97,250 debit

Allowance for Doubtful Accounts $951 credit

The company estimated bad debt expense for the year as $35,100 using the percent of sales method but has not yet recorded the adjustment needed.

Given the above information, which of the following statements is TRUE?

Group of answer choices

1)The unadjusted $951 credit balance in Allowance for Doubtful Accounts is due to an error in the calculation of bad debts.

2)Net Accounts Receivable shown on the December 31 Balance Sheet will be $60,248.

3)The balance in Allowance for Doubtful Accounts after adjustment will be $36,051.

4)All of the other answers are correct.