#84 A company ages its accounts receivables to determine its end of period adjustment for bad debts. At the end of the current year, management estimated that $39,375 of the accounts receivable balance would be uncollectible. Prior to any year-end adjustments, the Allowance for Doubtful Accounts had a credit balance of $3,285. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?

Bad Debt Expense

Allowance for Doubtful Accounts

36,090

36,090

A.

42,660

Bad Debt Expense .

Allowance for Doubtful Accounts.

42,660

B.

39,375

Bad Debt Expense

Allowance for Doubtful Accounts.

39,375

C.

D.

Accounts Receivable.

Bad Debt Expense

Sales

Accounts Receivable.

Allowance for Doubtful Accounts

39,375

3,285

42,660

36,090

36,090

\#84 A company ages its accounts receivables to determine its end of period adjustment for bad debts. At the end of the current year, management estimated that $39,375 of the accounts receivable balance would be uncollectible. Prior to any year-end adjustments, the Allowance for Doubtful Accounts had a credit balance of $3,285. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense