On June 30, 2019 Alex company's accounts receivable ledger showed an ending balance of $75,000. The balance in the allowance for bad debts account is $5,500 on this date. The company estimates that $3,500 of the accounts receivable will become uncollectible. Choose the correct journal entry:

a

Dr: Bad Debts Expense $5,500 Cr: Allowance for Bad Debts $5,500

b

Dr: Bad Debts Expense $1,000 Cr: Allowance for Bad Debts $1,000

c

Dr: Bad Debts Expense $3,500 Cr: Accounts Receivable $3,500

d

Dr: Bad Debts Expense $3,500 Cr: Allowance for Bad Debts $3,500