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Account Receivable Problems Section 1 On December 31,2020 Company Dragon Fly has the following information as presented below Account A/C Receivable at the beginning of the year ADA [debit balance in the beginning) Sales Sales Return Sales Discount 15% of the sales are cash $ 8.720 175 25,460 1600 5% of sales The company has decided to estimate bad debt for the year based on 5% sales The writing off of the debt occurs before the estimation of Allowance for Doubtful debt [ADA] Required Part 1 [ sales Approach A. Calculate bad debt B. Journalize the bad debt and the Allowance for doubtful debt C. Post them on T account D. Show the balance extract for the account receivable