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ABC Company uses the allowance method and estimates bad debts using the percent-of-sales method. The company's management estimates that 3% of net credit sales will
ABC Company uses the allowance method and estimates bad debts using the percent-of-sales method. The company's management estimates that 3% of net credit sales will be uncollectible for the year 2025. Net credit sales for the year amounted to $210,000. What is the journal entry to record the estimated bad debts expense? O A. Debit Bad Debts Expense for $6,300; Credit Allowance for Bad Debts for $6,300 OB. Debit Allowance for Bad Debts for $210,000; Credit Bad Debts Expense for $210,000 O C. Debit Bad Debts Expense for $210,000; Credit Allowance for Bad Debts for $210,000 OD. Debit Allowance for Bad Debts for $6,300; Credit Bad Debts Expense for $6,300
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