Pharoah Co. uses the percentage-of-receivables basis to record bad debt expense. It estimates that 2% of accounts receivable will become uncollectible. Accounts receivable are $425,000 at the end of the year, and the allowance for doubtful accounts has a credit balance of $2,120.

If the allowance for doubtful accounts had a debit balance of $960 instead of a credit balance of $2,120, determine the amount to be reported for bad debt expense.

what is the Bad dept expense?