P8-38B Accounting for uncollectible accounts (aging-of-receivables method), notes receivable, and accrued interest revenue Relax Recliner Chairs completed the following selected transactions: L D $ 2018 Jul. 1 Sold merchandise inventory to Go-Mart, receiving a $43,000, nine month, 16% note. Ignore Cost of Goods Sold. Oct. 31 Recorded cash sales for the period of $23,000. Ignore Cost of Goods Sold. Dec. 31 Made an adjusting entry to accrue interest on the Go-Mart note. 31 Made an adjusting entry to record bad debts expense based on an aging of accounts receivable. The aging schedule shows that $14,900 of accounts receivable will not be collected. Prior to this adjustment, the credit balance in Allowance for Bad Debts is $10,700. 2019 Apr. 1 Collected the maturity value of the Go-Mart note. Jun. 23 Sold merchandise inventory to Allure, Corp., receiving a 60-day, 6% note for $7,000. Ignore Cost Goods Sold. Aug. 22 Allure, Corp. dishonored its note at maturity; the business converted the maturity value of the note to an account receivable. Nov. 16 Loaned $20,000 cash to Tench, Inc., receiving a 90-day, 8% note. Dec. 5 Collected in full on account from Allure, Corp. 31 Accrued the interest on the Tench, Inc. note. Record the transactions in the journal of Relax Recliner Chairs. Explanations are not required. (Round to the nearest dollar.) P8-38B Accounts and Explanation Debit Credit Date 2018 Jul. 1 Oct. 31 Dec. 31 31 2019 Apr. 1 Jun 23 Aug. 22 Nov. 16