Problem 7.4A (Algo) Accounts receivable transactions and bad debts adjustments LO C1, P2, P3 int Lang Company began operations in Year 1 During its first two years, the company completed a number of transactions involving salos on credit, accounts receivable collections, and bad debts. These transactions are sumazed as follows Year 1 a. Sold $1,354,900 of merchandise on credit that had cost $975,600), term n/30 b. Wrote off $22.000 of uncollectible accounts receivable. c Received $669,900 cash in payment of accounts receivable, d. In adjusting the accounts on December 31, the company estimated that 1 90% of accounts receivable would be uncollectible Bo Year 2 Print 0 e. Sold $1.594.400 of merchandise that had cost $1301,600) on credit terms n30. 1 Wrote off $29.400 of uncollectible accounts receivable g. Received $1.290,700 cash In payment of accounts receivable h. In adjusting the accounts on December 31. the company estimated that 1.90% of accounts receivable would be uncollectible rences Daired had bent Boak fine company uses me perpendi miventory system, and it appres me anowance method for View transaction ilet Ask Journal entry worksheet rint