On June 1, 2024, Champion Performance Cell Phones sold $26,000 of merchandise to Ackerman Trucking Company on account. Ackermar fell on hard times and on July 15 paid only $7,000 of the account receivable. After repeated attempts to collect, Champion Performance finall wrote off its accounts recelvable from Ackerman on September 5 . Six months later, March 5, 2025, Champion Performance received Ackerman's check for $19,000 with a note apologizing for the late payment Read the requirements Requirement 1. Journalize the transactions for Champion Performance Cell Phones using the direct write-off method Ignore Cost of Goods Sold. (Record debits first, then, credits. Select the explanation on the last line of the journal entry table.) June 1: Champion Performance Cell Phones sold $26,000 of merchandise to Ackerman Trucking Company on account Ignore Cost of Goods Sold July 15: Ackerman paid $7,000 of the account receivable September 5 Champion Performance wrote off its accounts receivable from Ackerman March 5. Champion Performance received Ackerman's check for $19,000 with a note apologizing for the late payment First joumalize the reinstatement of Ackerman's accounts receivable. (Do not journalize the collection. We will do that in the next step.) Now journalize the collection from Ackerman. Requirement 2. What are some limitations that Champion Performance will encounter when using the direct write-off method? A. Champion Performance will encounter limitations with the direct write-off method because it will result in understating profits and net assets every year the method is used B. Champion Performance will encounter limitations with the direct write-off method because it is complicated and very costly to implement. C. Champion Performance will encounter limitations with the direct write-off method because it violates the matching principle. The matching principle requires that the expense of uncollectible accounts be matched with the related revenue D. Champion Performance will not encounter any limitations with the direct write-off method because it adheres to the matching principle by matching the expense of uncollectible accounts with the related revenue. On June 1, 2024, Champion Performance Cell Phones sold $26,000 of merchandise to Ackerman Trucking Company on account. Ackerman fell on hard times and on July 15 paid only $7,000 of the account receivable. After repeated attempts to collect, Champion Performance finally wrote off its accounts recelvable from Ackerman on September 5. Six months later. March 5, 2025, Champion Performance received Ackerman's check for $19,000 with a note apologizing for the late payment. Read the requirements July 15. Ackerman paid $7,000 of the account receivable. September 5 . Champion Performance wrote off its accounts receivable from Ackerman. March 5, Champion Performance received Ackerman's check for $19,000 with a note apologizing for the late payment. First joumalize the reinstatement of Ackerman's accounts recelvable. (Do not journalize the collection. We will do that in the next step.) Now iournalize the collection from Ackerman. Requirement 2. What are some limitations that Champion Performance will encounter when using the direct write-off method? A. Champion Performance will encounter limitations with the direct write-off method because it will result in understating profits and net assets every year the method is used B. Champion Performance will encounter limitations with the direct write-off method because it is complicated and very costly to implement. C. Champion Performance will encounter limitations with the direct write-off method because it violates the matching principle. The matching principle requires that the expense of uncollectible accounts be matched with the related revenue. D. Champion Performance will not encounter any limitations with the direct write-off method because it adheres to the matching principle by matching the expense of uncollectible accounts with the related revenue