1.2.

Class Quest Company had the following balances as at January 1, 2016: Accounts Receivable $600,000 Debit Allowance for Doubtful Accounts $32,000 Credit During the fiscal year 2016 (Jan 1 to Dec 31 2016), the company had the following transactions: Total Sales $7,200,000 (of which 40% represents cash sales). Cash collected from credit customers $3,000,000 Write-offs of uncollectible accounts $22,000. Required:If the company estimates that 1% of the credit sales are uncollectible, what amount would the company record as the bad debts expense for the year? Bade Debts Expense ADA Calc: %ofRec Class Quest Company had the following balances as at January 1, 2016: Accounts Receivable $600,000 Debit Allowance for Doubtful Accounts $32,000 Credit During the fiscal year 2016 (Jan 1 to Dec 31 2016), the company had the following transactions: Total Sales $7,200,000 (of which 40% represents cash sales). Cash collected from credit customers $3,000,000 Write-offs of uncollectible accounts $22,000. Required: If the company estimates that 2.50% of its accounts receivable balance is uncollectible, calculate the ending balance in the allowance for doubtful accounts. Ending Balance in Allowance for Doubtful Accounts