The Milwaukee Brewers Pro Shop sometimes makes large sales to other businesses. Those sales are made on account with the terms n/30. Based on past history, some of their business customers do not pay their receivables balance in full. Therefore, the Brewers use the allowance method to estimate its bad debts expense. As of 12/31 the Brewers allowance for doubtful accounts had an unadjusted credit balance of $15,500. To help estimate its allowance and bad debts expense, the Brewers create an aging of accounts receivable schedule. Below is their aging schedule as of 12/31. Accounts Receivable $ 860,000 344,000 68,800 34,400 13,760 Age of Accounts Receivable Not yet due 1 to 30 days past due Expected Percent Uncollectible 1.20% 1.95 31 to 60 days past due 6.45 61 to 90 days past due Over 90 days past due 32.50 67.00 2. Prepare the adjusting entry to record bad debts expense at December 31. Note: Round percentage answers to nearest whole percent. Do not round intermediate calculations. View transaction list Journal entry worksheet 1 Record the estimated bad debts. Note: Enter debits before credits. Date General Journal Debit Credit >