Craigmont uses the allowance method to account for uncollectible accounts. Its year-end unadjusted trial balance shows Accounts Receivable of $136,500, allowance for doubtful accounts of $985 (credit) and sales of $1,085,000. If uncollectible accounts are estimated to be 0.6% of sales, what is the amount of the bad debts expense adjusting entry? Multiple Choice $6,510 $5,525 $7,495 $6,635 $6,710