Prepare the entry for bad debt expense for the current year assuming allowance for doubtful accounts is $$1,960,$ but it is a credit balance and the allowance should be $4\%$ of gross accounts receivable. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. List debit entry before credit entry.$)$

Account Titles and Explanation

Debit

Credit