10. Determining Bad Debt Expense Using the Aging Method At the beginning of the year, Tennyson Auto Parts had an accounts receivable balance of $31,800 and a balance in the allowance for doubtful accounts of $2,980 (credit). During the year, Tennyson had credit sales of $624,300, collected accounts receivable in the amount of $602,700, wrote off $18,600 of accounts receivable, and had the following data for accounts receivable at the end of the period: Proportion Expected Accounts Receivable Age Amount to Default Current $20,400 0.01 1-15 days past due 5,300 0.02 16-45 days past due 3,100 0.08 46-90 days past due 3,600 0.15 Over 90 days past due 2,400 0.30 $34,800 Required: I 1. Prepare journal entries for credit sales, collections, and write-offs. 2. Determine the balance in allowance for doubtful accounts before the bad debt expense adjusting entry is posted. 3. Determine the desired post-adjustment balance in allowance for doubtful accounts. 4. Compute bad debt expense. 5. Prepare the adjusting entry to record bad debt expense.