rear $7$

a$.$ Sold $$1,348,900$ of merchandise on credit $($that had cost $$975,400),$ terms $\frac{n}{30}.$

b$.$ Wrote off $$20,700$ of uncollectible accounts receivable.

c$.$ Received $$666,900$ cash in payment of accounts receivable.

d$.$ In adjusting the accounts on December $31,$ the company estimated that $2\mathrm{.}40\%$ of accounts receivable would be uncollectible.

Year $2$

e$.$ Sold $$1,550,300$ of merchandise $($that had cost $$1,314,700)$ on credit, terms $\frac{n}{30}.$

f$.$ Wrote off $$32,700$ of uncollectible accounts receivable.

g$.$ Received $$1,332,700$ cash in payment of accounts receivable.

h$.$ In adjusting the accounts on December $31,$ the company estimated that $2\mathrm{.}40\%$ of accounts receivable would be uncollectible.

Required:

Prepare journal entries to record Liang's Year $1$ and Year $2$ summarized transactions and its year$-$end adjustments to record bad debts expense. $($The company uses the perpetual inventory system, and it applies the allowance method for its accounts receivable.$)$

Note: Round your intermediate calculations to the nearest dollar.

Complete this question by entering your answers in the tabs below.

Journal Entry

Journal Entry

Year $1$

Year $2$

Prepare journal entries to record Liang's Year $1$ summarized transactions adad its year$-$end adjustments to record bad debts expense. $($The company uses the perpetual inventory system, and it applies the allowance method for its accounts receivable.$)$

Journal entry worksheet

$1$

$2$

$(3)$

$4$

$$

$$

In adjusting the accounts on December $31,$ the company estimated that

$2\mathrm{.}40\%$ of accounts receivable would be uncollectible.