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 $ 240,000 $ 600,000 In addition, its unadjusted trial balance includes the following items. Accounts receivable Allowance for doubtful accounts 5 324,000 debit $ 3,200 debit Required: 1. Prepare the adjusting entry to record bad debts under each separate assumption. a. Bad debts are estimated to be 8% of credit sales. b. Bad debts are estimated to be 2% of total sales. C. An aging analysis estimates that 5% of year-end accounts receivable are uncollectible Adjusting entries (all dated December 31). View transaction list