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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

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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 $15,750 of the accounts receivable balance would be uncollectible. Prior to any year-end adjustments, the Allowance for Doubtful Accounts had a debit balance of $375. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense? 15,7501 Bad Debts Expense Allowance for Doubtful Accounts 15,750 O 15, 375 Bad Debts Expense Allowance for Doubtful Accounts 15,375 O 16, 125 Bad Debts Expense Allowance for Doubtful Accounts 16, 125 O Accounts Receivable Bad Debts Expense Sales 15,750 375 O 16,125 16, 125 Accounts Receivable Allowance for Doubtful Accounts 16,125

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