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Question 1During the year ended December 31,2020, Precision Camera Equipment had sales revenue of$152,000, of...

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Accounting

Question 1During the year ended December 31,2020, Precision Camera Equipment had sales revenue of$152,000, of which $76,000 was on credit. At the start of 2020, Accounts Receivable showed a$20,800 debit balance, and the Allowance for Doubtful Accounts showed an $1,250 credit balance.Collections of accounts receivable during 2020 amounted to $58,800.Use the following data for 2020 to answer the questions:a. On December 10,2020, a customer balance of $2,130 from a prior year was determined tobe uncollectible, so it was written off.b. On December 31,2020, a decision was made to continue the accounting policy of basingestimated bad debt losses on 2 percent of credit sales for the year.Requirement 1: (15 Marks)1. Prepare the required journal entries for the two events in December 2020.(If no entry isrequired write "No journal entry required)Requirement 2: (10 Marks)Show how the amounts related to Accounts Receivable and Bad Debt Expense would be reportedon the balance sheet and income statement for 2020.(Amounts to be deducted should be in

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