Question #2 - 3 marks - 9 minutes VBC Company uses the aging of receivables method for setting up its allowance for doubtful accounts At its year end (July 31, 2020), the company shows the following account balances: DR CR $ 1,200,000 Sales revenue (200,000 cash sales) Accounts receivable Allowance for doubtful accounts $ 150,000 1,500 The company's accountant breaks down the receivables as follows: Estimated Amount Receivable Uncollectible Not Due $ 108,000 2% 30-60 days old 19,000 3% 60-90 days old 13,000 10% Over 90 days old 10,000 30% $ 150,000 Required: a.) Based on the information above, prepare the required July 31 adjustment to allowance for doubtful accounts. b.) Compute net accounts receivable as it would be presented on the company balance sheet. c.) Sometimes the allowance for doubtful accounts can be a DEBIT balance. How does this usually happen