TUNTUT Cisco Wudex me https://www.disco... UH Core Curriculu... 2018-2019-Catalog TCCN---Bu Saved Hels Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate comp Problem 7-4A (Algo) Accounts receivable transactions and bad debts adjustments LO C1, P2, P3 Liang Company began operations in Year 1. During its first two years, the company completed a number of transactions involving sales on credit, accounts receivable collections, and bad debts. These transactions are summarized as follows Year 1 a. Sold $1,352,400 of merchandise on credit (that had cost $978,500), terms 1/30. b. Wrote off $21,200 of uncollectible accounts receivable. c. Received $671,800 cash in payment of accounts receivable, d. In adjusting the accounts on December 31, the company estimated that 1.40% of accounts receivable would be uncollectible Year 2 e. Sold $1,570,300 of merchandise (that had cost $1,293,800) on credit, terms 1/30, f. Wrote off $32,800 of uncollectible accounts receivable. g. Received $1.273,000 cash in payment of accounts receivable. h. In adjusting the accounts on December 31, the company estimated that 1.40% of accounts receivable would be uncollectible Required: Prepare journal entries to record Llang's Year 1 and Year 2 summarized transactions and its year-end adjustments to record bad debts expense (The company uses the perpetual inventory system, and it applies the allowance method for its accounts receivable.) (Round your intermediate calculations to the nearest dollar.) Prey 1 of 1 Next X JE Year 1 JE Year 2 Prepare journal entries to record Liang's Year 2 summarized transactions and its year-end adjustments to record bad debts expense. (The company uses the perpetual inventory system, and it applies the allowance method for its accounts receivable.) Transaction General Journal Debit Credit e(1) Accounts receivable 1,570,300 Sales 1,570,300 No 1 2 e(2) 1,293,800 Cost of goods sold Merchandise inventory 1,293,800 32,800 3 f Allowance for doubtful accounts Accounts receivable >S 32,800 1,273,000 4 9 Cash Accounts receivable SIS 1,273,000 15,762 5 h Bad debts expense Allowance for doubtful accounts 15,763 Prey 1 of 1 Next DI