At January 1, 2017, Gear Co. had a balance of $190,000 in its allowance for doubtful accounts. Based on past experience, 5% of Gears credit sales have been uncollectible. During 2017, Gear wrote off $210,000 of uncollectible accounts and collected $15,000 of previously written off Accounts Receivable. Credit sales for 2017 were $4,500,000. In its December 31, 2017 balance sheet, what amount should Gear report as allowance for doubtful accounts?

a. $190,000 b. $240,000 c. $205,000 d.$220,000 e. $225,000