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Required information

$[$The following information applies to the questions displayed below.$]$

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

Cash sales

Credit sales

$$1,905,000$

$$5,682,000$

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

Accounts receivable

Allowance for doubtful accounts

$$1,270,100$ debit

$$16,580$ debit

$2.$ Bad debts are estimated to be $1\mathrm{.}5\%$ of credit sales. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December $31$ balance sheet.

Current assets: