At December 31, 2017. Espresso Imports Inc. reported this information on its balance sheet. Accounts receivable Less:Allowance for doubtful accounts $644.000 40.000 During 2018, the company had the following summary transactions related to receivables and sales. Espresso uses the perpetual inventory system. 1. Sales on account amounted to $2,715,000. The cost of the inventory sold was $2,443,500. 2. Sales returns and allowances with a total sales price of $41,000 and a cost of $36,900 were restored to inventory. Collections of accounts receivable were $2,393,000. Write-offs of accounts receivable deemed uncollectible, $44,900. Recovery of bad debts previously written off as uncollectible, $15,100. 3. 4. 5. Prepare the journal entry to record bad debts expense for 2018, assuming that aging the accounts receivable indicates that estimated uncollectible accounts receivable are $43,000. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts.) Debit Credit Account Titles and Explanation Bad Debts Expense Allowance for Doubtful Accounts e Textbook and Media List of Accounts Save for Later Attempts: 0 of 2 used Submit