The following transactions were completed by Irvine Company during the current fiscal year ended December $31$:

Feb. $8$ Received $45\%$ of the $$18,700$ balance owed by DeCoy Co$.,$ a bankrupt business, and wrote off the

remainder as uncollectible.

May $27$ Reinstated the account of Seth Nelsen, which had been written off in the preceding year as

uncollectible. Journalized the receipt of $$7,270$ cash in full payment of Seth's account.

Aug. $13$ Wrote off the $$6,360$ balance owed by Kat Tracks Co$.,$ which has no assets.

Oct. $31$ Reinstated the account of Crawford Co$.,$ which had been written off in the preceding year as

uncollectible. Journalized the receipt of $$3,975$ cash in full payment of the account.

Dec. $31$ Wrote off the following accounts as uncollectible $($compound entry$)$: Newbauer Co$.,$ $$7,265$;

Bonneville Co$.,$ $$5,595$; Crow Distributors, $$9,305$; Fiber Optics, $$1,150.$

Dec. $31$ Based on an analysis of the $$1,759,500$ of accounts receivable, it was estimated that $$35,190$ will be

uncollectible. Journalized the adjusting entry.

Required:

Record the January $1$ credit balance of $$25,685$ in a $T-$account for Allowance for Doubtful Accounts.

a$.$ Journalize the transactions.

b$.$ Post each entry that affects the following selected T$-$accounts and determine the new balances: Allowance for

Doubtful Accounts and Bad Debt Expense.

Determine the expected net realizable value of the accounts receivable as of December $31.$

Assuming that instead of basing the provision for uncollectible accounts on an analysis of receivables, the

adjusting entry on December $31$ had been based on an estimated expense of $\frac{1}{4}$ of $1\%$ of the sales of

$$17,710,000$ for the year, determine the following:

a$.$ Bad debt expense for the year.

b$.$ Balance in the allowance account after the adjustment of December $31.$

c$.$ Expected net realizable value of the accounts receivable as of December $31.$