Vogue Jewellers sells jewellery on credit. The accounting records as at 30 June 2018 reveals the following information: Credit sales for the year $535,000 Credit sales returns and allowances for the year 35,000 Accounts receivable balance 30 June 2017 156,050 Allowance for Doubtful debts (credit balance 30 June 2017) 950 In the past the company's yearly bad debts expense had been estimated at 3% of net credit sales revenue. It was decided to compare that method with an ageing of the accounts receivable method. The following analysis was obtained with respect to the accounts receivable: Balance % Estimated uncollectable $ Accounts not yet due Accounts overdue 10-30 days 31-60 days 61-120 days 121 days and over 78,000 38,000 19,000 11,300 9,750 156,050 3% 15% 28% 40% TOTAL Required: a) Prepare the journal entries to adjust the Allowance for Doubtful Debts at 30 June 2018 under: i. the net credit sales method ii. the ageing of accounts receivable method. b) Determine the balance in the Allowance for Doubtful Debts account under both methods. c) Assume that the allowance account had a debit balance of $525 at 30 June 2017. Show the journal entries to record the allowance for doubtful debts at 30 June 2018 under: i. the net credit sales method ii. the ageing of accounts receivable method. d) Using the journal entries from requirement c, determine the balance in the allowance account under both methods. e) Explain, with reference to requirements band d, why the two different methods result in different balances