Why? Estimating Bad Debts from Receivables Balances The following information is extracted from Shelton Corporation's accounting records at the beginning of 2019: Accounts Receivable $63,000 Allowance for Doubtful Accounts 1,400 (credit) During 2019, sales on credit amounted to $575,000, S557,400 was collected on outstanding receivables and $2,600 of receivables were written off as uncollectible. On December 31, 2019, Shelton estimates its bad debts to be 4% of the outstanding gross accounts receivable balance. Required: 1. Prepare the journal entry necessary to record Shelton's estimate of bad debt expense for 2019. 2. Prepare the Accounts Receivable section of Shelton's December 31, 2019, balance sheet