QUESTION 5 [20 Marks] Presented below is an ageing schedule for Emerald Ltd. Emerald Ltd is not currently registered for (551'. Number of days past due m Emerald Ltd estimates of bad debts are as follows: WWW Not yet due 2% 1-30 days past due 5% 31-60 days past due 10% 61-90 days past due 24% Over 90 days 50% As at 30 .Iu ne 2018, the unadjusted balance in the Allowance for Doubtful Debts is 53,000 credit. Required: Prepare general journal entries as required below. Ignore narrations for all journal entries. ij Prepare the adjusting entry for estimated uncollectible accounts atm30 June 2018. Show all workings. [4 marks] ii) Prepare an extract from the balance sheet of Emerald Ltd at 30 June 2018 showing how Accounts Receivable would be reported. [3 marks] iii) Emerald Ltd was notified by a legal rm on 15th September 2018 that Dejong was bankrupt and could not pay his account. Prepare the journal entrvjr to write off this account [3 marks] iv) On 15th November 2018, a cheque for 510,000 was received from Dejo ng as part payment of the amount due. No further payment is expected. Prepare the journal entry for this payment. [4 marks] v) Prepare the adjusting journal entry for estimated uncollectible aocounts at 30 June 2018 if Emerald Ltd uses the percentage of net credit sales method at 1.5% for estimating uncollectible accounts. Credit sales for the year we re $320,000 and sales returns and allowances we re 515,000. [3 marks] vi) An alternative to the allowance method of accounting for bad debts is the direct write-off method. Discuss the limitations of this method. [3 marks] WORKINGS