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4) A trial balance before adjustment included the following: Accounts receivable Credit Debit $600,000 $3,400 Allowance for doubtful accounts Sales $2,500,000 Sales returns and allowances

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4) A trial balance before adjustment included the following: Accounts receivable Credit Debit $600,000 $3,400 Allowance for doubtful accounts Sales $2,500,000 Sales returns and allowances $200,000 Assume that the estimate of uncollectible accounts is determined as 1.5% of net sales. a) What is the ending balance (adjusted balance) in the allowance account - show your work

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