Jayco Inc. started its operations in 2016. Its sales, all on account, totalled $700,000. The company collected $500,000 in cash from customers during the year and wrote off $8,000 in uncollectible accounts. The company set up an allowance for doubtful accounts at December 31, 2016, its fiscal year end, and determined the account balance to be $14,000. The unadjusted balances of selected accounts at December 31, 2017, are as follows: $300,000 10,000 800,000 Accounts receivable Allowance for doubtful accounts (debit) Sales revenue (including 80 percent in sales on account) Aging of the accounts receivable on December 31, 2017, resulted in an estimate of $11,000 in potentially uncollectible accounts Required: 1. Prepare the journal entries to record all the transactions during 2016 and post them to appropriate T- accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet 1 2 3 4 Record the entry for sale on accounts. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Record entry Clear entry View general journal Accounts Receivable Allowance for Doubtful Accounts Beg. bal Beg. bal End. bal End. bal 2. Prepare the journal entries to record all the transactions during 2017 and post them to appropriate T- accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 3 Compute the receivables turnover ratio and the average collection period for 2017. (Use 365 days a year. Round "Receivables turnover" to 2 decimal places and other answer to nearest whole number.) times Receivables turnover Average collection period days 4. Does the write-off of accounts receivable affect the current ratio? Yes No 5 Does the recording of bad debt expense affect the receivables turnover ratio? Yes No