Question 18 Lincoln Ltd has accounts receivable of $60,000 at 30 June, 2021. An analysis of the accounts shows these amounts as follows: Not yet saved Marked out of 4.00 Month of sale Balance of Accounts Receivable P Flag question June, 2021 $30,000 May, 2021 22,500 April March, 2021 7,500 $60,000 Credit terms are 3/10, n/30. At 30 June, 2021, there is a $2,100 credit balance in Allowance for Doubtful Debts before adjustment. The entity uses the ageing of accounts receivable basis for estimating uncollectable accounts. Estimates of bad debts are as follows: Age of accounts Estimated percent uncollectable Current 10% 1-30 days past due date 17% 20% 31-90 days past due date Required: a) Determine the total estimated uncollectable. b) Prepare the adjusting entry at 30 June, 2021 to record bad debts expense. c) On 15 August 2021, a $1,150 owing by a customer whose business liquidated due to prolonged lockdown was written off as uncollectable. Prepare the journal entry to record the write-off. d) Repeat c) assuming direct-write off method is used instead of allowance method in accounting for bad debts. Narrations are not required for the journal entries