Swathmore Clothing Corporation grants its customers 30 days credit. The company uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by multiplying 2% times the amount of credit sales for the month. At the fiscal year-end of December 31, an aging of accounts receivable schedule is prepared and the allowance for uncollectible accounts is adjusted accordingly.

At the end of 2015, accounts receivable were $598,000 and the allowance account had a credit balance of $62,000. Accounts receivable activity for 2016 was as follows:

Beginning balance	$	598,000
Credit sales		2,740,000
Collections		(2,603,000)
Write-offs		(51,000)
Ending balance	$	684,000

The companys controller prepared the following aging summary of year-end accounts receivable:

		Summary
Age Group		Amount	Percent Uncollectible
060 days	$	430,000	4	%
6190 days		92,000	15
91120 days		61,000	20
Over 120 days		101,000	35
Total	$	684,000

Required:

1.	Prepare a summary journal entry to record the monthly bad debt accrual and the write-offs during the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

2.	Prepare the necessary year-end adjusting entry for bad debt expense. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

3-1.	What is total bad debt expense for 2016?

3-2.	How would accounts receivable appear in the 2016 balance sheet?