1. Zara, who owns a sewing kit business, had an outstanding account receivable balance of $30,000 for one of her biggest customers in 20x8. In August of 20x9, the client filed for bankruptcy, after paying back $1,000 of the outstanding balance to Zara. Zara was notified by the bankruptcy court that she could not expect to receive more than an additional $4,000. Assuming she is an accrual basis taxpayer, what is Zara's bad debt deduction for the current year