Assume the 2017 annual report for Sears Holding Corporation contained the following information (in millions): A footnote

Question:

Assume the 2017 annual report for Sears Holding Corporation contained the following information (in millions):

2017 2016 Accounts Receivable $881 $781 Allowance for Doubtful Accounts 42 37 Accounts Receivable, Net $839 $744

A footnote to the financial statements disclosed that accounts receivable write-offs amounted to $13 million during 2017 and $3 million during 2016. Assume that Sears did not record any recoveries.

Required:

Determine the Bad Debt Expense for 2017 based on the above facts.

Financial Statements
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