On January 1, 20x8, Myer Companys allowance for doubtful accounts had a credit balance of $7499. Sales revenue for 20x8 was $1162872 of which 80% was on credit. Historical data indicates that 3 percent of credit sales prove uncollectible. The company wrote off $9989 of accounts receivable during the year. What should the balance in the allowance account be after the adjusting entry for doubtful accounts is made?

Select one:

a. $25419 cr.

b. $17920 cr.

c. $10421 dr.

d. $10421 cr.