RECEIVABLES-DIRECT WRITE OFF METHOD Thompson & Company had a beginning balance in Accounts Receivable of $250,000 at the beginning of 20Y3. During 2043, Thompson generated $330,000 of sales on account, collected $300,000 of receivables in cash, and agreed to accept merchandise returns in the amount of $15,000. On February 17, 20Y4, Thompson learned that a customer had gone bankrupt and will be unable to pay their outstanding balance of $8,000. 1. Record the necessary transactions for 20Y3 and 20Y4. ASSETS LIABILITIES + EQUITY 2. At the end of February 20Y4, what is left to be collected from customers? 3. Why is this method not allowed under GAAP