2. A corporation uses the allowance method of recording bad debts. At the end of year 20x6 and before recording any adjusting or closing entries, the corporation reports balances in selected general ledger accounts as set out below. Accounts Receivable $600,000 Dr Allowance for Bad Debts 2,000 Dr Bad Debts Expense 0 Assume that the corporation ages its accounts receivable as of the end of 20x6 and arrives at a conclusion that that $17,000 (out of the $600,000 total) of the accounts receivable will ultimately be uncollectible. To record bad debts expense for the year, the corporation should ... A. Debit Bad Debts Expense for $17,000 B. Debit Allowance for Bad Debts for $19,000 C. Debit Bad Debts Expense for $15,000 D. Credit Allowance for Bad Debts for $19,000 E. None of the above