A business has an ending balance in Accounts Receivable of $35,000; credit sales for the year of $300,000; and a credit balance in Allowance for Bad Debts of $800. If the percentage of sales method is used and the percentage is estimated at 1% of credit sales, what is the amount to be entered for the adjusting entry?

(a) $3,000

(c) $2,200

(b) $3,800

(d) $1,150