Tanning Company analyzes its receivables to estimate uncollectible accounts. The accounts receivable balance is $342,000 and credit sales are $1,000,000. An aging of accounts receivable estimates that $23,940 of the outstanding receivables will be uncollectible, What adjusting entry will Tanning Company make if Allowance for Doubtful Accounts has a credit balance of $3,000 before adjustment? Oa. Bad Debt Expense 20,940 Allowance for Doubtful Accounts 20,940 Ob. Bad Debt Expense 26,940 Allowance for Doubtful Accounts 26,940 Oc. Bad Debt Expense 80,820 Allowance for Doubtful Accounts 80,820 Od Bad Debt Expense 23,940 Allowance for Doubtful Accounts 23,940