Paramount Company provided for uncollectible accounts receivable under the allowance method using 2% of sales. The balance of allowance for doubtful accounts was P500,000 on January 1, 2019. During the year, credit sales totaled P20,000,000; P300,000 of bad debts were written off, and recoveries of accounts previously written off amounted to P50,000. The company analyzed its receivables and resulted to the following aging of receivables: Classification Balance Collectible Nov-Dec 5,000,000 95% July-Oct 2,000,000 90% Jan-June 1,000,000 75% Prior to Jan 500,000 25% If the company continues the use of the percentage of sales method, how much is the balance of allowance for doubtful accounts after adjustment