Beavis Corporation uses the income statement approach to estimate uncollectible accounts receivable. Net credit sales for the current year amount to $10,000,000, and management estimates 2% will be uncollectible. Allowance for Uncollectible Accounts prior to adjustment has a credit balance of $32,000. The amount of expense reported on the income statement will be:

Select one:

a. $232,000.

b. $200,000.

c. $168,000.

d. $ 32,000.