Sheridan Company uses the percentage of sales method to record bad debt expense. It estimates that 2% of net credit sales (all made on account) will become uncollectible. Sheridan Company reported the following information in its general ledger for the year ended September 30, 2021:

Sales
Debit	Credit
	954,000
Accounts Receivable
Debit	Credit
257,000
Allowance for Doubtful Accounts
Debit	Credit
	2,000

1) Prepare the adjusting entry to record bad debt expense at year end.

2) Calculate the carrying amount of accounts receivable on September 30, 2021.