P9-36B Accounting for uncollectible accounts using the allowance method (aging-of-receivables) and reporting receivables on the balance sheet At September 30, 2018, the accounts of Spring Mountain Medical Center (SMMC) include the following: Accounts Receivable $145,000 Allowance for Bad Debts (credit balance) 3,400 During the last quarter of 2018, SMMC completed the following selected transactions . . . Sales on account, $475,000. Ignore Cost of Goods Sold. Collections on account, $451,800. Wrote off accounts receivable as uncollectible: Randall, Co., $1,800; Oliver Welch, $900; and Rain, Inc., $500 Recorded bad debts expense based on the aging of accounts receivable, as follows: . Age of Accounts 1-30 Days 31-60 Days 61-90 Days Over 90 Days Accounts Receivable $ 97,000 $ 37,000 $ 17,000 $ 14,000 Estimated percent uncollectible 0.3% 3% 30% 35% Requirements 1. Open T-accounts for Accounts Receivable and Allowance for Bad Debts. Journalize the transactions (omit explanations) and post to the two accounts. 2. Show how Spring Mountain Medical Center should report net accounts receivable on its December 31, 2018, balance sheet