ABC Company uses the allowance method and estimates bad debts using the percent-of-sales method. The company's management estimates that 4% of net credit sales will be uncollectible for the year 2025. Net credit sales for the year amounted to $270,000. What is the journal entry to record the estimated bad debts expense? A. Debit Bad Debts Expense for $10,800; Credit Allowance for Bad Debts for $10,800 OB. Debit Bad Debts Expense for $270,000; Credit Allowance for Bad Debts for $270,000 C. Debit Allowance for Bad Debts for $270,000; Credit Bad Debts Expense for $270,000 D. Debit Allowance for Bad Debts for $10,800; Credit Bad Debts Expense for $10,800