nep ave a Exit A Company uses the percentage of credit sales method to estimate Bad Debt Expense. The company reported net credit sales of $640,000 during the year. It has experienced bad debt losses of 4% of credit sales in prior periods. At the beginning of the year, the Company has a credit balance in its Allowance for Doubtful Accounts of $5,400. No write-offs or recoveries were recorded during the year. What amount of Bad Debt Expense should it recognize for the year? Multiple Choice $20,200. o $31,000. o $25,600 O $5,400 A Company reported the following information at December 31, Year 1: Accounts Payable Accounts Receivable Cash Common Stock Equipment Inventory Notes Payable due December 31, Year 3 Retained Earnings, December 31, Year 1 Wages Payable $ 4,580 9,430 24,290 90,800 50,300 32,000 2,580 14,170 3,890 What is the total of the credit balance accounts? Multiple Choice O $13,440 o $104,970