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In: AccountingLiang Company began operations on January 1, 2017. During itsfirst two years, the company completed...Liang Company began operations on January 1, 2017. During itsfirst two years, the company completed a number of transactionsinvolving sales on credit, accounts receivable collections, and baddebts. These transactions are summarized as follows.2017Sold $1,353,300 of merchandise (that had cost $977,400) oncredit, terms n/30.Wrote off $18,200 of uncollectible accounts receivable.Received $666,400 cash in payment of accounts receivable.In adjusting the accounts on December 31, the company estimatedthat 1.70% of accounts receivable will be uncollectible.2018Sold $1,545,000 of merchandise on credit (that had cost$1,256,900), terms n/30.Wrote off $26,400 of uncollectible accounts receivable.Received $1,329,900 cash in payment of accountsreceivable.In adjusting the accounts on December 31, the company estimatedthat 1.70% of accounts receivable will be uncollectible.Required:Prepare journal entries to record Liang’s 2017 and 2018 summarizedtransactions and its year-end adjustments to record bad debtsexpense. (The company uses the perpetual inventory system and itapplies the allowance method for its accounts receivable.)(Round your intermediate calculations to the nearest dollaramount.)