Q5: Sonic has the following information: Balance sheet method used to estimate un-collectible accounts. Company bases estimate on TOTAL accounts receivable. Cash sales =$1,540,123 Credit sales =$385,000 Accounts Receivable =$989,000 Existing CREDIT balance in the Allowance for Doubtful Accounts =$58,000 Bad Debts are estimated at this % of ALL sales =4.8% What is the required adjusting journal entry? Debit Bad Debt Expense and Credit Allowance for Doubtful Accounts for $10,528 Debit Bad Debt Expense and Credit Allowance for Doubtful Accounts for $(10,528) Debit Allowance for Doubtful Accounts and Credit Bad Debt Expense for $10,528 None of the above