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Discount Mart utilizes the allowance method of accounting for uncollectible receivables. On December 12, the company receives a $550 check from Chad Thomas in settlement of Thomas's $1,290 outstanding accounts receivable. Due to Thomas's failing health, he is closing his company and is expecting to make no further payments to Discount Mart. Journalize this transaction.

If an amount box does not require an entry, leave it blank.

Dec. 12Accounts Receivable-Chad ThomasBad Debt ExpenseCashCash Over or ShortPetty Cash- Select -- Select - Accounts Receivable-Chad ThomasAllowance for Doubtful AccountsBad Debt ExpenseCash Over or ShortSales- Select -- Select - Accounts Receivable-Chad ThomasAllowance for Doubtful AccountsBad Debt ExpenseCashSales Returns- Select -- Select