Brief Exercise 7-13 (Algo) Uncollectible accounts; income statement approach [LO7-5, 7-6] The following information relates to a company's accounts receivable: gross accounts receivable balance at the beginning of the year, $470,000, allowance for uncollectible accounts at the beginning of the year, $36,000 (credit balance); credit sales during the year, $1,800,000; accounts receivable written off during the year, $27,000 cash collections from customers, $1,950,000. Assuming the company estimates bad debts at an amount equal to 3% of credit sales. 1. Calculate bad debt expense for the year. 2. Calculate the year-end balance in the allowance for uncollectible accounts. 1 Bad debt expense $ 54,000 2. Ending balance