Wilcox Mills is a manufacturer that makes all sales on 30-day credit terms. Annual sales are approximately $30 million. At the end of 2014, accounts receivable were presented in the company's balance sheet as follows:

Accounts receivable from clients = $3,100,000

Less: Allowance for doubtful accounts = $80,000

During 2015, $160,000 of specific accounts receivable were written off as uncollectible. Of these accounts written off, receivables totaling $18,000 were subsequently collected. At the end of 2015, an aging of accounts receivable indicated a need for a $222,000 allowance to cover possible failure to collect the accounts currently outstanding.
Wilcox Mills makes adjusting entries for uncollectible accounts only at year-end.

Instructions

	1.	One entry to summarize all accounts written off against the Allowance for Doubtful Accounts during 2015.
	2.	Entries to record the $18,000 in accounts receivable that were subsequently collected.
	3.	The adjusting entry required at December 31, 2015, to increase the Allowance for Doubtful Accounts to $222,000.

a.

Prepare the above general journal entries: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) (For journal entry) Transaction 1. Record the write-off of receivables throughout the year. Transaction 2. Record the entry summarizing the reinstatemtn of accounts proving to be collectible. Transaction 3. Record the collection of accounts reinstated. Transaction 4. Record the entry to adjust the credit balance of allowance for doubtful accounts.