Please complete all parts.

Problem 8-4A Here is information related Sheridan Company for 2017 Total credit sales $1,511,000 Accounts receivable at December 31 805,500 Bad debts written off 40,700 (a) What amount of bad debt expense will Sheridan Company report if it uses the direct write-off method of accountina for bad debts7 Bad debts expense 4% of accounts receivable. What amount of bad debt expense will the company record if Allowance for Doubtful Accounts has a credit balance of $2.700? (b) Assume that Sheridan Company decides to estimate its bad debt expense based Bad debts expense (c) Assume the same facts as in (b), except that there Is a $900 debit balance in Allowance f Doubtful Accounts. What amount of bad debt expense will sheridan Company record? Bad debts expense