FastChips Inc. has the following unadjusted year end trial balance information available for 2022:

Credit sales		$ 1,254,000
Ending accounts receivable balance	$ 550,000
Ending allowance for credit losses balance	$ 15,500
Estimated uncollectibles		3.5%

If FastChips uses the gross accounts receivable approach for estimating the allowance for credit losses, what should the allowance for credit losses account and credit loss expenses be?

• A. $28,390; $43,890
• B.

$34,750; $19,250

• C.

$19,250; $3,750

• D.

$43,890; $2,390

• E.

$43,890; $18,390