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Hill View Corporation has the following information: It is estimated that 10% of ending accounts receivable is most likely to prove uncollectible. The current year

Hill View Corporation has the following information:

  • It is estimated that 10% of ending accounts receivable is most likely to prove uncollectible.
  • The current year ending balance of accounts receivable is $1,000,000.
  • Allowance for Doubtful Accounts ended the current year with a $20,000 credit balance.

Calculate the value of bad debts expense recorded in the books of Hill View Corporation.

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