Sherman Company estimates uncollectible accounts based on the aging schedule below: Days Outstanding Gross Accounts Receivable Estimated % Uncollectible 30 days or less $140,000 1% 30-60 days 60,000 2% 60-90 days 10,000 5% Over 90 days 5,000 10% This year, credit sales were $400,000. There is currently no balance in the Allowance for Doubtful Accounts. What adjusting entry should the company record?