Problem 9-4A Accounts receivable transactions and bad debts adjustments C1 P2 P3 Liang Company began operations in Year 1. During its first two years, the company completed a rumber of transactions involving sales on credit, accounts receivable collections, and bad debts. These transac- tions are summarized as follows. Year 1 a. Sold $1,345,434 of merchandise (that had cost $975,000) on credit, terms n/30. b. Wrote off $18,300 of uncollectible accounts receivable. c. Received $669,200 cash in payment of accounts receivable d. In adjusting the accounts on December 31, the company estimated that 1.5% of accounts receivable would be uncollectible. Check De Bad Debts Expense. $28.169 Year 2 e. Sold $1.525,634 of merchandise on credit (that had cost $1,250,000), terms n/30. f. Wrote off $27,800 of uncollectible accounts receivable. g. Received $1,204,600 cash in payment of accounts receivable. h. In adjusting the accounts on December 31, the company estimated that 1.5% of accounts receivable would be uncollectible. th) Dr. Bad Debts Expense. $32,199 Required Prepare journal entries to record Liang's summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system, and it applies the allowance method for its accounts receivable. Round to the nearest dollar.)