On june 1, 2010, nott corp. loaned horn $400,000 on a 12% note, payable in five annual installments of $80,000 beginning january 2, 2011. in connection with this loan, horn was required to deposit $5,000 in a noninterest-bearing escrow account. the amount held in escrow is to be returned to horn after all principal and interest payments have been made. interest on the note is payable on the first day of each month beginning july 1, 2010. horn made timely payments through november 1, 2010. on january 2, 2011, nott received payment of the first principal installment plus all interest due. at december 31, 2010, nott's interest receivable on the loan to horn should bea. $0.b. $4,000.c. $8,000.d. $12,000.

Johnson company uses the allowance method to account for uncollectible accounts receivable. bad debt expense is established as a percentage of credit sales. for 2018, net credit sales totaled $6,400,000, and the estimated bad debt percentage is 1.40%. the allowance for uncollectible accounts had a credit balance of $61,000 at the beginning of 2018 and $49,500, after adjusting entries, at the end of 2018.required: 1. what is bad debt expense for 2018 as a percent of net credit sales? 2. assume johnson makes no other adjustment of bad debt expense during 2018. determine the amount of accounts receivable written off during 2018.3. if the company uses the direct write-off method, what would bad debt expense be for 2018?