M8-7 (Algo) Estimating Bad Debts Using the Percentage of Credit Sales Method [LO 8-2] Assume Simple Company had credit sales of $256.000 and cost of goods sold of $156,000 for the period. Simple uses the percentage of credit sales method and estimates that 1 percent of credit sales would result in uncollectible accounts. Before the end of-period adjustment is made the Allowance for Doubtful Accounts has a credit balance of 5310 Required: What amount of Bad Debt Expense would the company record as an end-of-period adjustment? Bad Debt Expense