accounting

Question 4: Information related to Hamilton plc for 2017 is summarized below. Total credit sales $2,500,000 Accounts receivable at December 31 970,000 Bad debts written off 66.000 Required (a) What amount of bad debt expense will Hamilton report if it uses the direct write-off method of accounting for bad debts? (b) Assume that Hamilton estimates its bad debt expense to be 3% of credit sales. What amount of bad debt expense will Hamilton record if it has an Allowance for Doubtful Accounts credit balance of $4,000