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15) The following information is from the 2019 records of Fast Lane Racing Gear: $40,000 (debit) Accounts receivable, December 31, 2019 Allowance for Bad Debts,
15) The following information is from the 2019 records of Fast Lane Racing Gear: $40,000 (debit) Accounts receivable, December 31, 2019 Allowance for Bad Debts, December 31, 2019 prior to adjustment 2000 (debit) Net credit sales for 2019 Accounts written off as uncollectible during 2019 Cash sales during 2019 175,000 18,000 30,000 Bad debts expense is estimated by the aging-of-receivables method. Management estimates that $9000 of accounts receivable will be uncollectible. Calculate the ending balance of Allowance for Bad Debts, after the adjustment for bad debts expense, at December 31, 2019. A) $13,000 B) $8000 C $5250 D) $9000
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