A company has the following unadjusted account balances at December 31, 2022; Accounts Receivable of $183,400 and Allowance for Doubtful Accounts of $1,600 (credit balance). The company uses the aging of accounts receivable to estimate its bad debts. The following aging schedule reflects its accounts receivable at the current year-end:

Account Age	Balance	Estimated Uncollectible Percentage
Current (not yet due)	$ 106,000	2.0%
130 days past due	54,000	4.0%
3060 days past due	12,000	10.0%
6190 days past due	8,500	25.0%
Over 90 days past due	2,900	75.0%
Total	$ 183,400

1. Calculate the amount of the Allowance for Doubtful Accounts that should appear on the December 31, 2022 (ending balance), of the current year, balance sheet.

2. Assume the beginning balance of the Allowance for Doubtful accounts was $5,000 (Debit), prepare the journal entry to record bad debts on December 31, 2022.