K Corp had the following account balances on December 31, 2021:

Accounts Receivable	20,000
Allowance for Bad Debts	800 (credit)
Net credit sales	60,000

The company uses the allowance method to account for uncollectibles. Industry experience suggests that uncollectible amounts will amount to 5% of accounts receivable. .

Prepare the journal entry to record estimated bad debt expense using the percent-of-receivables

method.