the year Question 1 The Fira is undecided about which base to use in estinating uncollectible accounts. On December 31, the balance in Accounts Receivable 40,000 and net credit sales anounted to $ 2,000,000 during - An aging analysis of the accounts receivable indicated 320,000 that in accounts are expected to be uncollectible. - past experience has shown that about 1% of net credit sales eventually are uncollectible. Prepare the adjusting entries to record estinated bad debts expense using the (1) percentage of sales method (2) the percentage of receivable basis under each of the folloving independent assumptions: (a )Allowance for Doubtful Accounts has a credit balance 500 before adjustnent (b) Allowance for Doubtful Accounts has a debit balance 350 before adjustnent Date Description Dr CR