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Accelerated Solutions The following data are from the company's records for the year ended December 31: Accounts receivable--January 1 $350,000 Credit sales during the year
Accelerated Solutions The following data are from the company's records for the year ended December 31:
Accounts receivable--January 1 | $350,000 |
Credit sales during the year | 1,200,000 |
Collections from credit customers during the year | 850,000 |
Customer accounts written off as uncollected during the year | 10,000 |
Allowance for doubtful accounts--January 1 | 35,000 |
Estimated uncollected accounts based on an aging analysis | 50,000 |
Refer to Accelerated Solutions. If the aging method is used to estimate bad debts, what amount should be recorded as bad debt expense?
a.$25,000
b.$15,000
c.$50,000
d.$5,000
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