Please read thoroughly and answer each question. Please help! Thank you!

Question 7. part 1 of 3

At December 31, Hawke Company reports the following results for its calendar year.

Cash sales $ 400,000

Credit sales $ 1,000,000

In addition, its unadjusted trial balance includes the following items.

Accounts receivable $ 900,000 debit

Allowance for doubtful accounts $ 7,200 debit

1. Prepare the adjusting entry to record bad debts under each separate assumption. Bad debts are estimated to be 4% of credit sales. Bad debts are estimated to be 3% of total sales. An aging analysis estimates that 4% of year-end accounts receivable are uncollectible. Adjusting entries (all dated December 31).

No	Date	General Journal	Debit	Credit
A	December 31	Bad debts expense
		Allowance for doubtful accounts
B	December 31	Bad debts expense
		Allowance for doubtful accounts
C	December 31	Bad debts expense
		Allowance for doubtful accounts

Question 8. part 2 of 3

2. Bad debts are estimated to be 4% of credit sales. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 balance sheet.

Current assets:_______________________________

Accounts Receivable
Less: Allowance for doubtful accounts		$

Question 9. part 3 of 3

3. An aging analysis estimates that 4% of year-end accounts receivable are uncollectible. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 balance sheet.

Current assets:________________

Accounts Receivable
Less: Allowance for doubtful accounts