The Tucker Corporation. has estimated its bad debts at 0.5 per cent of net credit sales. During 2021, Acme decided to calculate the required balance for the allowance for doubtful accounts at year-end, December 31, by aging its accounts receivable and determined that 5% of accounts receivable is estimated not to be collected. The following data, which already have been recorded in the company's general ledger, are also available:

2020 2021

Accounts written off

On March 14, 2017 (Acme) $1,500

On March 30, 2018 (Jones) $600

Recoveries of accounts written off

On June 5, 2021 (Jones) 200

The Allowance for Doubtful Accounts general ledger account reported the January 1, 2020 to be $5,000 credit. Net credit sales for 2020 was $400,000. 2021 year-end balance for accounts receivable is $160,000

Required: Prepare journal entries to record:

1. The amount of bad debt expense for the year 2020

i. 1(a) Show the calculation for bad debt expense

ii. 1(b) Journal entry

2. The bad debt expense on December 31, 2021

(i) 2(a) Show the calculation for bad debt expense

ii. 2(b) Journal entry

3. The collection from Jones on June 5, 2021.