Rodriguez Company reports the following financial information before adjustments.

Debits Credits

Accounts Receivable $80,000

Allowance for Doubtful Accounts $2,400

Gross Sales (all on credit) $265,500

Sales Returns and Allowances $35,300

Instructions:

Prepare the journal entry to record Bad Debt Expense assuming Rodriguez Company

estimates bad debts at

(a) 5% of net sales

(b) 9% of acounts receivable

(a)

Journal entry

(b)

Journal entry