During 2014, Adams Assembly, Inc., recorded credit sales of $1,300,000. Based on prior experience, it estimates a 1 percent bad debt rate on credit sales.

Required:
Prepare journal entries for each transaction:
a. The appropriate bad debt expense adjustment was recorded for the year 2014.
b. On December 31, 2014, an account receivable for $4,000 from March of the current year was determined to be uncollectible and was written off.