The following represent different scenarios for Larkspur Company. Prior to any year-end adjusting entries, Larkspur Company had a balance in Accounts Receivable of $122,000. Credit sales during the period were $730,000, and Sales Returns and Allowances were $16,000. (a) (b) (c) Assume Larkspur Company uses the allowance method to account for uncollectible accounts. If Allowance for Doubtful Accounts has a debit balance of $870 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 9% of Accounts Receivable. (List debit entry before credit entry. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Dec. 31 Debit Credit