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Delta Clothing uses the allowance method to account for bad debts. In the first year of operations (2021), Delta sold S600,000 of merchandise ($540,000 of

Delta Clothing uses the allowance method to account for bad debts. In the first year of operations (2021), Delta sold S600,000 of merchandise ($540,000 of this was on credit). On December 31, 2021, it estimated that 1.8% of its credit sales would be uncollectible.

Prepare an adjusting entry (without explanation) to record bad debt expense as of December 31, 2021

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