Oak St. Store has $500,000 in Accounts Receivable on December 31, 2018. Oak St. estimates uncollectible accounts to be 5% of Accounts Receivable. Select the correct adjustment for uncollectible accounts if Oak St. Store has a $1,000 debitbalance in Allowance for Uncollectible Accounts before adjusting entries at December 21, 2018.

Question 14 options:

	Debit Bad Debt Expense $25,000 Credit Allowance for Uncollectible Accounts $25,000
	Debit Bad Debt Expense $26,000 Credit Allowance for Uncollectible Accounts $26,000
	Debit Accounts Receivable $25,000 Credit Allowance for Uncollectible Accounts $25,000
	Debit Allowance for Uncollectible Accounts $26,000 Credit Bad Debt Expense $26,000