Exercise 5-67 (Algorithmic) Bad Debt Expense: Percentage of Credit Sales Method $547,900 8,740 Bradford Plumbing had the following data for a recent year: Credit sales Allowance for doubtful accounts, 1/1 (a credit balance) Accounts receivable, 1/1 Collections on account receivable Accounts receivable written off Bradford estimates that 3.3% of credit sales will eventually default. 42,340 489,770 14,250 Required: 1. Compute bad debt expense for the year (rounding to the nearest whole number). 2. Determine the ending balances in accounts receivable and allowance for doubtful accounts. Ending Balance Accounts receivable II Allowance for doubtful accounts