Trivedi Corporation, is a software development company that recently reported the following amounts (in thousands) in its unadjusted trial balance as of February 28, 2019.

	Debits	Credits
Accounts Receivable	$ 988,000
Allowance for Doubtful Accounts		$ 5,150
Sales and Service Revenue		4,600,000

Required:

1. Assume Trivedi uses of 1 percent of revenue to estimate its bad debt expense for the year. Prepare the adjusting journal entry required at February 28 for recording Bad Debt Expense.

2. Assume instead that Trivedi uses the aging of accounts receivable method and estimates that $6,300 (thousand) of Accounts Receivable will be uncollectible. Prepare the adjusting journal entry required at February 28 for recording bad debt expense. TIP: The aging of accounts receivable method focuses on calculating what the adjusted Allowance for Doubtful Accounts balance should be. You need to consider the existing balance when determining the adjustment.

3. Assume that the unadjusted balance in Trivedi's Allowance for Doubtful Accounts at February 28 was a debit balance of $1,260 (thousand). Trivedi uses the aging of accounts receivable method and estimates that $6,300 (thousand) of Accounts Receivable will be uncollectible. Prepare the adjusting journal entry required at February 28 for recording bad debt expense.

4. If one of Trivedis customers declared bankruptcy, what journal entry would be used to write off its $630 (thousand) balance?