Question 6 --/1 View Policies Current Attempt in Progress Sheffield Corp. uses the percentage-of-receivables basis to record bad debt expense and concludes that 3% of accounts receivable will become uncollectible. Accounts receivable are $430,800 at the end of the year, and the allowance for doubtful accounts has a credit balance of $2.864. (a) Prepare the adjusting journal entry to record bad debt expense for the year. (b) If the allowance for doubtful accounts had a debit balance of $887 instead of a credit balance of $2.864, prepare the adjusting journal entry for bad debt expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit (a) Question 8 View Policies Current Attempt in Progress Novak Corp. accepts from Gates Stores a $1,600, 4-month, 5% note dated May 31 in settlement of Gates' overdue account. The maturity date of the note is September 30. Calculate the interest payable at maturity. (Round answer to 0 decimal places, e.g. $155.) Interest payable at maturity $ eTextbook and Media List of Accounts What entry does Novak Corp. make at the maturity date, assuming Gates pays the note and interest in full at that time? (Credit account titles are automatically indented when amount i Account Titles and Explanation Debit Credit (To record collection of Gates note and interest)