Santana Rey, owner of Business Solutions, realizes that she needs to begin accounting for bad debts expense. Assume that Business Solutions has total revenues of $51,000 during the first three months of 2022 and that the Accounts Recelvable balance on March 31 , 2022 , is $22,067. Required: 1a. Prepare the adjusting entry to record bad debts expense, which are estimated to be 2% of total revenues on March 31 , 2022. There Is a zero unadjusted balance In the Allowance for Doubtful Accounts at March 31. 1b. Prepare the adjusting entry to record bad debts expense, which are estimated to be 3% of accounts recelvable on March 31 , 2022 . There Is a zero unadjusted balance in the Allowance for Doubtful Accounts at March 31. 2. Assume that Business Solutions's Accounts Recelvable balance at June 30,2022 , is $20,400 and that one account of $99 has been written off against the Allowance for Doubtful Accounts since March 31, 2022. If Rey uses the method in part 1b, what adjusting journal entry is made to recognize bad debts expense on June 30,2022 ? Complete this question by entering your answers in the tabs below. Prepare the adjusting entry to record bad debts expense, which are estimated to be 2% of total revenues on March 31,2022 . There is a zero unadjusted balance in the Allowance for Doubtful Accounts at March 31. Santana Rey recelves the March bank statement for Business Solutions on April 11,2022 . The March 31 bank statement shows an ending cash balance of $67,266. The general ledger Cash account, Number 101 , shows an ending cash balance per books of $67,78 : as of March 31 (prior to any reconcillation). A comparison of the bank statement with the general ledger Cash account, Number 101 , reveals the following. a. The bank erroneously cleared a $520 check against the company account in March that S. Rey did not Issue. The check was actually Issued by Business Systems. b. On March 25 , the bank statement IIsts a $53 charge for a safety deposit box. Santana has not yet recorded thls expense. c. On March 26 , the bank statement lists a $100 charge for printed checks that Business Solutions ordered from the bank. Santana has not yet recorded this expense. d. On March 31, the bank statement IIsts $26 Interest earned on Business Solutions's checking account for the month of March. Santana has not yet recorded this revenue. e. S. Rey notices that the check she Issued for $128 on March 31,2022 , has not yet cleared the bank. f. S. Rey verifies that all deposits made In March do appear on the March bank statement. Requlred: 1. Prepare a bank reconcillation for Business Solutions for the month ended March 31, 2022. 2. Prepare any necessary entrles. Use Miscellaneous Expenses, for any bank charges. Use Interest Revenue, for any Interest earned on the checking account for March. (If no entry is requlred for a transaction/event, select "No journal entry requlred" In the first account fleld.)