Question $1(10$ Marks$).$

ABC Company$$s accountant had prepared the following schedule for its accounts receivable for its $2023$ year$-$end:

Accounts Receivable Category Amount Proportion expected to Default

Not yet due $$111,0001\%$

$1-30$ days past due $45,0003\%$

$31-60$ days past due $19,50010\%$

$61-90$ days past due $4,50020\%$

Over $90$days past due $7,50050\%$

Before adjusting entries are entered, the pre$-$adjusted balance in the Allowance for Doubtful Accounts at December $31($year$-$end date$)$ showed a debit balance of $ $3,500.$

Required:

a$.$ Based on the above information, the post adjustment balance in ABC$$s Allowance for Doubtful Accounts at December $31,2023$ should be: $(4$ marks$)($neeed not show calculations$)$:

$\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_$

b$.$ Based on the above information, the bad debts expense for ABC for $2023$ is $(2$ marks$)$:

$($need not show calculiatons$)$

$\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_$

c$.$ Assume that in Januay $2023$ accounts receivable of $$3,456$ were written off as uncollectible and an accounts receivable of $ $468$ that was previously written off was collected in December $2022.$ Give the necessary journal entries below $(4$ marks$).$

Debit Credit

To write $-$off uncollectible accounts receivable

To collect accounts receivable previously written off