Country Store, Inc. provides credit to their favorite customers. On December 31, 2018, the controller of Country Store prepared the following aging of receivables:

Days Outstanding Amount Uncollectible %

Not Yet Due $ 50,000 3.0 %

0 60 Days Past Due 20,000 5.0 %

> 60 Days Past Due 10,000 20.0 %

On January 1, 2018, the balance in Allowance for Doubtful Accounts was

$ 3,000. During the year, Country Store wrote-off accounts in the amount of $ 4,000.

Country Store made no collections on accounts that had previously been written-off, and no provisions for bad debts were made during the year.

A. (1) What is the desired balance in the Allowance for Doubtful Accounts

On December 31, 2018?

B. (1) Given your answer to Part A, what is the appropriate Adjusting Entry to record

Bad Debt Expense for the year-ending December 31, 2018?