Abbott Company uses the allowance method of accounting for uncollectible accounts. Abbott estimates that 2% of credit sales will be uncollectible. On January 1, the Allowance for Doubtful Accounts had a credit balance of $3,500. During the year, Abbott wrote-off accounts receivable totaling $2,400 and made credit sales of $96,000. After the adjusting entry, the December 31 balance in Bad Debt Expense would be Select the correct answer. $3,500 $3,020 $5,420 $1,920