In 1998 D. H. Lawrence Company had net credit sales of \(\$ 750,000\). On January 1, 1998, Allowance for Doubtful Accounts had a credit balance of \(\$ 18,000\). During \(1998, \$ 30,000\) of uncollectible accounts receivable were written off. Past experience indicates that the allowance should be \(10 \%\) of the balance in receivables (percentage of receivables basis). If the accounts receivable balance at December 31 was \(\$ 200,000\), what is the required adjustment to the Allowance for Doubtful Accounts at December 31, 1998?

(a) \(\$ 20,000\)

(c) \(\$ 32,000\)

(b) \(\$ 75,000\)

(d) \(\$ 30,000\)