Joy Co. uses the allowance method of accounting for bad debts. Their Allowance for Doubtful Accounts as a year-end credit balance, prior to adjustment, of $700. The bad debts are estimated at 3 of $700,000, the net credit sales. Prepare the year end adjusting journal entry for bad debt expense. DR Bad Debit Expense 1.000 CRIADA 21,000 ORADE 1000 C ad Debit Expense 21.000 O ad Debts Expense 1800 CILADA 1.800 OR Bad Debts Expense 11,400 CRAFDA 11400