Accounts receivable Percent uncollectible Days Past Due Total Current 1 to 30 31 to 61 to Over 90 6090 $ 57,600 $ 40,000 $9,000 $3,600 $2,000 $3,000 1% 3% 5% 8% 11% Prepare the adjusting entry to record bad debts expense assuming the unadjusted balance in the Allowance for Doubtful Accounts is a $500 credit. A) Debit Bad Debts Expense $840; credit Allowance for Doubtful Accounts $840. B) Debit Allowance for Doubtful Accounts $840; credit Bad Debts Expense $840. C) Debit Bad Debts Expense $1,840; credit Allowance for Doubtful Accounts $1,840. D) Debit Allowance for Doubtful Accounts $1,840; credit Bad Debts Expense $1,840. E) Debit Bad Debts Expense $1,340; credit Allowance for Doubtful Accounts $1,340.