Marigold Corp. has outstanding accounts receivable totaling $6.80 million as of December 31 and sales on credit during the year of $21 million. There is also a credit balance of $17000 in the allowance for doubtful accounts. If the company estimates that 6% of its outstanding receivables will be uncollectible, what amount of bad debt expense will be reported on Marigold's income statement? $408000. $1260000. $391000. $425000.