eBook Cornerstone Exercise 5-28 (Algorithmic) Aging Method On January 1, 2019, Smith, Inc., has the following balances for accounts receivable and allowance for doubtful accounts Calculator Accounts Receivable Allowance for Doubtful Accounts (a credt balance) During 2019, Smith had $2,855,000 of credit sales, collected $2,905,000 of accounts receivable, and wrote off $3,850 of accounts receivable as uncollectible. At year end, Smith performs an aging of its accounts receivable balance and estimates that $3,800 will be uncollectible. Required $383,000 4,600 1. Calculate Smith's preadjustment balance in accounts receivable on Decemiber 31, 2019. s 324,550 2. S Calculate Smith's preadjustment balance in allowance for doubtful accounts on December 31, 2019 7,650 3. Prepare the necessary adjusting entry for 2019. Bad Debt Expense 7,650 Allowance for Doubtful Accounts 7.650 Record adjusting entry for bad debt expense estimate