1.(5 points) Journalize the following transactions using the allowance method of accounting for uncollectible receivables. July. 1 Sold merchandise on account to Gary Smith, $12,600. The cost of the merchandise is $7,200. Aug 15 Received payment for one-third of the receivable from Gary Smith and wrote off the remainder Oct. 11 Reinstated the account of Gary Smith and received cash for remaining balance owed