Problem 7-1 Uncollectible accounts; allowance method; income statement and balance sheet approach L07-5, 7-6] Swathmore Clothing Corporation grants its customers 30 days credit. The company uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by multiplying 2% times the amount of credit sales for the month. At the fiscal year-end of December 31, an aging of accounts receivable schedule s prepared and the allowance for uncollectible accounts is adjusted accordingly. At the end of 2017, accounts recelvable were $610,000 and the allowance account had a credit balance of $74,000. Accounts recelvable activity for 2018 was as follows Beginning balance $610,000 Credit sales Collections 2,663,000) Nrite-offs 57,0001 2, 900,000 Ending balance $690,000 The company's controller prepared the following aging summary of year-end accounts recelvable: Summa Age Group Amount uncollectible 0-60 days 460,000 61-90 days 91-120 days 67 Over 120 days 78,000 ,000 85,000 $690,000 26 41 Total Required: 1. Prepare a summary journal entry to record the monthly bad debt accrual and the write-ofts during the year 2. Prepare the necessary year-end adj usting entry for bad debt expense. 3-a-what is total bad debt expense for 2018? 3-b. How would accounts receivable appear in the 2018 balance sheet? Complete this question by entering your answers in the tabs below. ReqReq2 Req 3A Req 3B Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. (1f no entry is required for a t select "No journal entry required" in the first account field. View transaction list View journal entry worksheet No Event Bad debt expense 56,000 Allowance for uncollectible accounts Allowance for uncollectible accounts Accounts receivable Req Req 2 > Req Req2 Req 3A Req 3B What is total bad debt expense for 20187 Bad debt Req 3B ReqReqReq 3AReq 3B How would accounts receivable appear in the 2018 balance sheet? Balance Sheet (partial) Current assets: Accounts receivable K Req 3A Req 3B