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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

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 $175. What is the adjusting entry amount to be credited to the Allowance for Doubtful Accounts?

$15,750

$15,575.

$15,925.

$175

None of the above.

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