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At December 31, Hawke Company reports the following results for its calendar year.

Cash sales$ 160,000Credit sales$ 400,000

In addition, its unadjusted trial balance includes the following items.

Accounts receivable$ 216,000debitAllowance for doubtful accounts$ 2,200debit

Required:

1. Prepare the adjusting entry to record bad debts under each separate assumption.

1. Bad debts are estimated to be 3% of credit sales.
2. Bad debts are estimated to be 2% of total sales.
3. An aging analysis estimates that 5% of year-end accounts receivable are uncollectible.

Adjusting entries (all dated December 31).