Percent of Sales Method

At the end of the current year, Accounts Receivable has a balance of $$620,000,$ Allowance for Doubtful Accounts has a debit balance of $$5,500,$ and sales for the year total $$2,790,000.$ Bad debt expense is estimated at $1\mathrm{.}1\%$ of sales.

a$.$ Determine the amount of the adjusting entry for uncollectible accounts.

b$.$ Determine the adjusted balances of Accounts Receivable, Allowance for Doubtful Accounts, and Bad Debt Expense.

Adjusted Balance

Debit $($Credit$)$

Accounts Receivable

Allowance for Doubtfu' Accounts

Bad Debt Expense

$

$

$

c$.$ Determine the net realizable value of accounts receivable.