Entity Juses US GAAP and the direct method for operating activities in its statement of cash flows. For the following item, indicate on which financial statement, it would appear: Cash used to purchase the debt or equity securities of other entities. O Multi-step income statement O Classified balance sheet Retained earnings statement Statement of cash flows Not on any financial statement QUESTION 21 The ledger of Entity G It the end of the current year shows Accounts Receivable of $350,000. Bad debts are expected to be 5% of Accounts Receivable. Allowance for Doubtful Accounts has a credit balance of $2,000 in the trial balance. What is the amount of bad debt expense for the year? $15,500 $17,500 $18,500 $2,000