! 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 $ 50,000 Credit sales 125,000 In addition, its unadjusted trial balance includes the following items. Accounts receivable $ 112,588 debit Allowance for doubtful accounts $ 900 debit Required: 1. Prepare the adjusting entry to record bad debts under each separate assumption a. Bad debts are estimated to be 4% of credit sales. b. Bad debts are estimated to be 3% of total sales c. An aging analysis estimates that 4% of year-end accounts receivable are uncollectible Adjusting entries (all dated December 31). View transaction list Journal entry worksheet B > Bad debts are estimated to be 4% of credit sales. Note: Enter debits before credits