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Allowance for Doubtful Accounts has a debit balance of $542 at the end of the year (before adjustment), and Bad Debt Expense is estimated at

Allowance for Doubtful Accounts has a debit balance of $542 at the end of the year (before adjustment), and Bad Debt Expense is estimated at 4% of sales. If net credit sales are $937,000, the amount of the adjusting entry to record the estimate of the uncollectible accounts is a. $36,938 b. $38,022 c. $542 d. $37,480

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