Hamblin Co. elects to use the percentage-of-sales basis in 2014 to record bad debts expense. It estimates that 3% of net credit sales will become uncollectible. Sales revenues are $837,400 for 2014, sales returns and allowances are $46,300, and the allowance for doubtful accounts has a credit balance of $9,500. Prepare the adjusting entry to record bad debts expense in 2014