E7-9B(Computing Bad Debts and Preparing Journal Entries) The trial balance before adjustment of Santillan Inc. shows the following balances. Debits: Accounts Receivable $180,000, Allowance for Doubtful Accounts 3,500. Credits: Sales (all on credit) $1,000,000. Instructions: Give the entry for estimated bad debts assuming that the allowance is to provide for doubtful accounts on the basis of (a)5% of gross accounts receivable and (b)1% of net sales