QUESTION 13 Hadley operates a law practice on the accrual method and calendar year. At the beginning of the year Hadley's firm had an allowance for doubtful accounts with a balance of $13,700. At the end of the year, Hadley recorded bad debt expense of $21,000 and the balance of doubtful accounts had increased to $20,000. What is Hadley's deduction for bad debt expense this year? O $21,000 O $14,700 O $6,300 $27,300 O $7,300 QUESTION 14 How much gross income does Ron have from the following items of economic income? Received cash gift of $5,000 from parents. Won $4,000 in Indiana lottery scratch off game. Olnvestment in IBM stock increased in value by $15,000. Collected $12,000 in unemployment benefits. O $4,000 O $12.000 O $31,000 O $16,000 O $9,000