The trial balance before adjustment of Risen Company reports the following balances: Dr. Cr. Accounts receivable $300,000 Allowance for doubtful accounts | $ 5,000 Sales (all on credit) 1,700,000 Sales returns and allowances 80,000 Instructions (a) Prepare the entry for estimated bad debts assuming that doubtful accounts are estimated to be 6% of gross accounts receivable. (b) Assume that all the information above is the same, except that the Allowance for Doubtful Accounts has a debit balance of $5,000 instead of a credit balance. How will this difference affect the journal entry in part (a)? (c) What is the theoretical justification for the percentage-of-receivables method used to estimate bad debts