West World Corporation had the following transactions related to receivables during the current year.

July 1 Received a $5,000, 4%, 3-month note, dated July 1, from Delores Abernathy in payment of her open account. Interest is due at maturity.

Oct. 1 Received notification from Delores Abernathy that she is unable to honour her note at this time. It is expected that Delores will pay at a later date.

Nov. 15 Received full payment from Delores Abernathy for note receivable previously dishonoured.

Dec. 31 West World had an $800 credit balance in Allowance for Doubtful Accounts at December 31, before the current year's provision for uncollectible account. An aging of the accounts receivable revealed the following:

Estimated %

Uncollectible

Current Accounts $150,000 1%

1-30 days past due 15,000 3%

31-60 days past due 8,000 6%

61-90 days past due 5,000 12%

Over 90 days past due 6,000 30%

Total Accounts Receivable $184,000

Required:

Record the above transactions, including any necessary adjusting entry for bad debt expense.

accounting