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At year end, Chief Company has a balance of $22,000 in accounts receivable of which $2,200 is more than 30 days overdue. Chief has a
At year end, Chief Company has a balance of $22,000 in accounts receivable of which $2,200 is more than 30 days overdue. Chief has a credit balance of $220 in the allowance for doubtful accounts before any year-end adjustments. Chief estimates that 1.0% of current accounts and 12% of accounts over thirty days are uncollectible. How much is bad debt expense?
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