P513113 At 31 December 2016, the trial balance of Lexington Pty Ltd contained the following amounts before adjustment: DEBITS mEDITS Accounts Receivable 5400 000 Allowance for Doubtful Debts '3 I 000 Sales 950 ooo Required a. Based on the Information given, which method of accounting for bad debts Is Lexington Pty Ltd uslng the direct writeoff method or the allowance method? How can you tell? b. Prepare the adjusting entry at 31 December 2016, for bad debts expense assuming that the ageing schedule indicates that $11 350 of accounts receivable will be uncollectable. c. Repeat part l(b) assuming that Instead of a credit balance there Is a $1000 deblt balance In the Allowance for Doubtful Debts. d. During the next month, January 2017, a $5000 account receivable is written off as uncollectable. Prepare the journal entry to record the wrlte off. e. Repeat part l(d) assuming that Lexington uses the direct writeoff method Instead of the allowance method in accounting for uncollectable accounts receivable. f. ul - What type of account Is the Allowance for Doubtful Debts? How does it affect how accounts receivable Is reported on the statement of financial position at the end of the accounting period