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  3. during 2019 the following selected summary transac

During 2019 the following selected summary transactions occurred for Zoff Ltd: a) Sales,...

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Accounting

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During 2019 the following selected summary transactions occurred for Zoff Ltd: a) Sales, $50,000,000 - of which 90% were on account, terms net 30. b) Sales returns and allowances, $500,000 - 10% related to cash sales, and 90% related to sales on account. c) Cash collections of $42,000,000 from account receivable customers. d) Write-offs of account receivable deemed uncollectible, $1,100,000. e) Cash recoveries of account receivable previously written off, $60,000. Additional information: Percentage of credit sale loss for fiscal 2019: 2.5% Account receivable balance, December 31, 2018: $7,000,000. AFDA balance: As at December 31, 2018... $140,000 Required: (Show all your calculations to receive full points) 1. Prepare journal entries for summary transactions a) to e), above. [8 points] 2. Show, in good form, how account receivable would be presented on the company's comparative statement of financial position as at December 31, 2019. [3 points) 3. Prepare the adjusting journal entry to record bad debts expense for 2019. [2 points)

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