a.) Journalize the transactions.

b.) Post to Allowance for Doubtful Accounts, Income Summary, and Bad Debts Expense accounts as needed.

c.)Prepare a current assets section of the balance sheet. Ending balances needed as follows: Cash, $13,500; Accounts Receivable, $165,000; Office Supplies, $2,100; Merchandise Inventory, $105,000; Prepaid Rent, $1,350.

L. POLL balance in Allowance for Doubtful Accounts lui ITC MOUI 3. Sigmund Company completed the following transactions in 2012: Jan. 9 Sold merchandise on account to Roger's Supply, $1,200. Jan. 15 Wrote off the account of Pete Ramirez as uncollectible because of his death, $500. Mar. 17 Received $450 from Roland Co., whose account had been written off in 2011. The account was reinstated and the collection recorded. Apr. 9 Received 18% of the $4,100 owed by Lane Danks. The remainder was written off as uncollectible. June 15 The account for Mae's Garage was reinstated for $1,500. The account was written off three years ago and collected in full today. Oct. 18 Prepared a compound entry to write the following accounts off as uncollectible: Jim's Diner, $220; Kross Auto, $460; Reece's Hardware, $800. Nov. 12 Sold merchandise on account to J.B. Rug, $2,200. . Dec. 31 Based on an aging of Accounts Receivable, it was estimated that $7,000 will be uncollectible out of a total of $165,000 in Accounts Receivable. . Dec. 31 Closed Bad Debts Expense to Income Summary. From these transactions as well as the following additional data, complete a-c: Balance Acct. No. Allowance for Doubtful Accounts 114 $4,200 Income Summary 312 Bad Debt Expense 612 Figure 2