Problem $7-19$A $($Static$)$ Determination of account balances and preparation of journal entries$$percent of receivables allowance method of accounting for uncollectible accounts LO $7-2$

The following information is available for Quality Book Sales$$ sales on account and accounts receivable.

Accounts receivable balance, January $1,$ Year $2$ $$78,500$

Allowance for doubtful accounts, January $1,$ Year $24,710$

Sales on account, Year $2550,000$

Collection on accounts receivable, Year $2556,000$

After several collection attempts, Quality Book Sales wrote off $$2,850$ of accounts that could not be collected. Quality Book Sales estimates that $4$ percent of the ending accounts receivable balance will be uncollectible.

Required

a$.$ Compute the following amounts:

$(1)$ Using the allowance method, the amount of uncollectible accounts expense for Year $2.$

$(2)$ Net realizable value of receivables at the end of Year $2.$

b$.$ Record the general journal entries to:

$(1)$ Record sales on account for Year $2.$

$(2)$ Record cash collections from accounts receivable for Year $2.$

$(3)$ Write off the accounts that are not collectible.

$(4)$ Record the estimated uncollectible accounts expense for Year $2.$