Problem 7-2A Estimating and reporting bad debts P2 P3 December 31, 2017, Hawke Company reports the following results for its calendar year Cash sales. Credit sales.. 5,682,000 0 In addition, its unadjusted trial balance includes the following items. $1,270,100 debit 16,580 debit Required under each of the following inde 1. Prepare the adjusting entry for this company to recognize bad debts pendent assumptions a. Bad debts are estimated to be 1.5% of credit sales. Bad debts are estimated to be 1% of total sales. C. An aging analysis estimates that 5% of year-end accounts receivable are uncollectible. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31 2017, balance sheet given the facts in part la. b. Check Bad Debts Expense (1 $85 230 se o 2. 3. Show how Accounts Receivable and the Allowance for Doubtful Accounts appear on its December 31, 2017, balance sheet given the facts in part lc