The trial balance before adjustment of XYZ Company reports the following balances: Dr. Cr. Accounts receivable $100,000 Allowance for doubtful accounts $ 2,500 Sales (all on credit) 750,000 Sales returns and allowances 40,000 Instructions Pass the journal entries for estimated bad debts assuming that doubtful debts accounts are estimated to be (1) 6% of gross accounts receivable and (2) 1% of net sales.