Percent of Sales Method

At the end of the current year, Accounts Receivable has a balance of $$435,000,$ Allowance for Doubtful Accounts has a debit balance of $$4,000,$ and sales for the year

total $$1,960,000.$ Bad debt expense is estimated at $\frac{1}{2}$ of $1\%$ 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$)$

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

$