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AURA Furniture Store has credit sales of RM400,000 in 2014 and a debit balance of RM600 in the Allowance for Doubtful Accounts at year end.

AURA Furniture Store has credit sales of RM400,000 in 2014 and a debit balance of RM600 in the Allowance for Doubtful Accounts at year end. As of December 31, 2016, RM130,000 of accounts receivable remain uncollected. The credit manager prepared an aging schedule of accounts receivable and estimates that RM7,000 will prove to be uncollectible.

On March 4, 2017, the credit manager authorizes a write-off of the RM1,200 balance owed by Miss Fella.

Prepare the adjusting entry to record the estimated uncollectible accounts expense in 2016.

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