Problem 7-4A Accounts receivable transactions and bad debts adjustments LO C1, P2, P3 70 Liang Company began operations In Year 1 During its first two years, the company completed a number of transactions involving sales on credit, accounts receivable collections and bad debts. These cansactions are summarized as follows. Year 1 os a. Sold $1348,000 of merchandise that had cost $975,300) on credit, terms n/30 b. Wrote off $21000 of uncollectible accounts receivable c. Received $667,200 cash in payment of accounts receivable d. In adjusting the accounts on December 31 the company estimated that 3.00% of accounts receivable would be uncollectible. References Year 2 e. Sold $1586000 of merchandise (that had cout $1336 800) on credit terms n/30 1. Wrote off 532.500 of uncollectible accounts receivable g. Recewed 51213,100 cash in payment of accounts receivable h. In adjusting the accounts on December 31 the company estimated that 3.00% of accounts receivable would be uncollectible. Required: Prepare journal entries to record Liang's Year 1 and Year 2 summarized transactions and its year end adjustments to record bad debes Date The Bethe on Hinnale the Almance malattie intrarea tivato Windows