a$.$ Journalize the write$-$offs under the direct write$-$off method. If an amount box does not require an entry, leave it blank.

Bad Debt Expense

Accounts Receivable$-$Jenny Green $$

Accounts Receivable$-$Mike Lamb $$

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Under the direct write$-$off method, Bad Debt Expense is recorded when the customer's account is determined to be worthless and written$-$off. There is no adjusting entry at year$-$end to record estimated bad debt.

b$.$ Journalize the write$-$offs and the year$-$end adjusting entry under the allowance method, assuming that the allowance account had a beginning balance of $$89,500$ and the company uses the analysis of receivables method. If an amount box does not require an entry, leave it blank.

Accounts Receivable$-$Lee Drake $$

Accounts Receivable$-$Mike Lamb $$

Allowance for Doubtful Accounts