Requirements 1. The company wants to use the allowance method to estimate bad debts. Determine the estimated bad debts expense under the following methods at June 30, 2025. Assume a zero beginning balance for Allowance for Bad Debts. Round to the nearest dollar. a. Percent-of-sales method, assuming 5.5% of credit sales will not be collected. b. Percent-of-receivables method, assuming 25% of receivables will not be collected. c. Aging-of-receivables method, assuming 20% of invoices 130 days will not be collected, 25% of invoices 3160 days, 30% of invoices 6190 days, and 40% of invoices over 90 days. 2. Journalize the entry at June 30,2025 , to adjust for bad debts expense using the percent-of-sales method. 3. Journalize the entry at June 30, 2025, to record the write-off of the Earth Rock Daycare invoice. 4. At June 30, 2025, T-accounts for Accounts Receivable and Allowance for Bad Debts before Requirements 2 and 3 have been opened for you. Post entries from Requirements 2 and 3 to those accounts. Assume a zero beginning balance for Allowance for Bad Debts. 5. Show how Wicked Wild Company will report net accounts receivable on the balance sheet on June 30, 2025