ACCT 2301.004 Fall 2023 Homework 3 due Oct. 9 1. Indicate whether each of the accounts listed below normally will have a debit balance or a eredit balance. Record your answer to the left of each account by entering either Dr or Cr. 2. On June 1, 2023, Clayton Company sold merchandise on credit at an invoice price of $1,000; terms 2/10,n/30. Required: Prepare the joumal entries to record the following: A. To record the sale. B. Assumption A: To record collection on June 28, 2023. C. Assumption B: To record collection on June 9, 2023. 3. Hellman Friedman recorded sales revenue during the year of $350,000 of which $100,000 was on credit. The company has experienced an average bad debt loss rate of 2% of credit sales. Required: Prepare the adjusting journal entry at the end of the year to record bad debt expense. 4. At year-end, Vista has a balance of $10,000 in accounts receivable of which $1,000 is more than 30 days overdue. Vista has a credit balance of $100 in the allowance for doubtful accounts before any year-end adjustments. Using the aging of accounts receivable method, Vista estimates that 1% of current accounts and 10% of accounts over thirty days are uncollectible. What is the amount of bad debt expense? 2