Question 18 Not yet saved Marked out of 4.00 Lesley Ltd has accounts receivable of $40,000 at 31 December, 2021. An analysis of the accounts shows these amounts as follows: Month of sale Balance of Accounts Receivable $20,000 December, 2021 Flag question November, 2021 October September, 2021 15,000 5,000 $40,000 Credit terms are 2/7, n/30. At 31 December, 2021, there is a $1,120 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 5% 1-30 days past due date 15% 31-90 days past due date 25% Required: a) Determine the total estimated uncollectable. b) Prepare the adjusting entry at 31 December, 2021 to record bad debts expense. c) On 31 March 2022, $800 was received from the customer whose account was written off as uncollectable in February 2022. Prepare the journal entry. Narrations are not required for the journal entries.