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Fresh Carpets Incorporated reported net credit sales of $11,170,000 for the current year. We present the company's ending balances of accounts receivable and the allowance for uncollectible accounts below:

T-accounts Transactions a. Credit sales for the year amounted to $12,100,000. Ignore cost of goods sold and the reduction of inventory. b. Several customers returned merchandise sold on account and unpaid, totaling $930,000 (retail value). Ignore cost of goods sold and the increase in inventory. c. Fresh wrote off $550,000 of uncollectible accounts from Party Inc. d. Fresh sold $1,400,000 of its accounts receivable to Softguard Capital with recourse. Softguard charged a fee equal to 4% of the receivables factored and held back an additional 3% as security. Softguard will return the hold back to Fresh when the receivables are collected. The estimated recourse liability is $70,000. This transaction qualifies as a sale. e. The company recovered $22,000 of accounts receivable written off two years ago from Tao Industries. f. The company recorded the bad debt expense for the year. Fresh estimates its uncollectible accounts at 20% of accounts receivable. Round to the nearest dollar. b. \begin{tabular}{||l|r|r||} \hline \hline Account & \multicolumn{2}{|c||}{ Current Year } \\ \hline Sales Returns and Allowances & 930,000 & \\ Accounts Receivable & & 930,000 \\ \hline \end{tabular} c. \begin{tabular}{||l|r|r||} \hline \hline Account & \multicolumn{2}{|c|}{ Current Year } \\ \hline Allowance for Uncollectible Accounts & 550,000 & \\ Accounts Receivable - Party Inc. & & 550,000 \\ \hline \end{tabular} d. \begin{tabular}{||l|r|r||} \hline \hline Account & \multicolumn{2}{|c||}{ Current Year } \\ \hline Cash & 1,302,000 & \\ Loss on Sale of Receivables & 126,000 & \\ Receivable from Factor & 42,000 & \\ Accounts Receivable & & 1,400,000 \\ Recourse Obligation & & 70,000 \\ \hline \end{tabular} e. e. \begin{tabular}{||l|r|r||} \hline \hline Account & \multicolumn{2}{|c||}{ Current Year } \\ \hline Cash & 22,000 & \\ \multicolumn{1}{|c|}{ Accounts Receivable - Tao Industries } & & 22,000 \\ \hline \end{tabular} f. \begin{tabular}{||l|r|r||} \hline \hline Account & \multicolumn{2}{|c||}{ Current Year } \\ \hline Bad Debt Expense & 1,052,000 & \\ \multicolumn{1}{|c|}{ Allowance for Uncollectible Accounts } & & 1,052,000 \\ \hline \end{tabular} Begin by preparing the partial balance sheet at December 31 for the current year. (Check your spelling carefu Fresh Carpets Incorporated Balance Sheet (Partial) December 31 Current assets: Less: NRV of accounts receivable Current liabilities: Now, prepare the partial income statement for the current year. (Check your spelling carefully and do not abb Fresh Carpets Incorporated Income Statement (Partial) For the Year Ended December 31 Revenues: Expenses/Losses

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