Journalize the following transactions in the accounts of Simmons Co., a medical equipment company that uses the direct write-off method of accounting for uncollectible receivables:
Aug. 8 Sold merchandise on account to Dr. Pete Baker, $21,400. The cost of the merchandise sold was $12,600.
Sept. 7 Received $13,000 from Dr. Pete Baker and wrote off the remainder owed on the sale of August 8 as uncollectible.
Dec. 20 Reinstated the account of Dr. Pete Baker that had been written off on September 7 and received $8,400 cash in full payment.