Seaforth International wrote off the following accounts receivable as uncollectible for the year ending December 31: Customer Amount Kim Abel $24,300 Lee Drake 31,195 29,715 Jenny Green Mike Lamb 17,890 Total $103,100 The company prepared the following aging schedule for its accounts receivable on December 31: Aging Class (Number of Days Past Due) Receivables Balance on December 31 Estimated Percent of Uncollectible Accounts 0-30 days $735,000 31-60 days 290,000 61-90 days 111,000 91-120 days 70,000 More than 120 days 94,000 Total receivables $1,300,000 a. Journalize the write-offs under the direct write-off method. If an amount box does not require an entry, leave it blank. Bad Debt Expense Accounts Receivable-Kim Abel 103,1000 0 24,300 o 31,195 Accounts Receivable-Lee Drake Accounts Receivable-Jenny Green o 29,715 Accounts Receivable-Mike Lamb 0 17,890 b. Journalize the write-offs and the year-end adjusting entry under the allowance method, assuming that the allowance account had a beginning balance of $89,000 and the company uses the analysis of receivables method. If an amount box does not require an entry, leave it blank. Allowance for Doubtful Accounts 103,1000 0 24,300 Accounts Receivable-Kim Abel Accounts Receivable-Lee Drake 0 31,195 Accounts Receivable-Jenny Green 0 29,715 Accounts Receivable-Mike Lamb o 17,890 Bad Debt Expense 16,250 x 0 Allowance for Doubtful Accounts 0 16,250 c. How much higher (lower) would Seaforth International's net income have been under the allowance method than under the direct write-off method? Lowers