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A company has an opening debit balance in Allowance for Doubtful Accounts of $ 5 0 0 . Its sales for the year total $

A company has an opening debit balance in Allowance for Doubtful Accounts of $500. Its sales for the year total $500,000. Management estimates that 1% of sales are uncollectible. What is the amount of bad debts expense for the year using the income statement method?
$4,500
$5,000
$5,500
None of the abov
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