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tanning company uses the percentage of receivables method for recording bad debts expense. The accounts receivable balance is 300,000 and credit sales are 1,000,000. An

tanning company uses the percentage of receivables method for recording bad debts expense. The accounts receivable balance is 300,000 and credit sales are 1,000,000. An aging of accounts receivable shows that 5% will be uncollectible. What adjusting entry will Tanning company make if the allowance for doubtful accounts has a credit balance of $2,000 before adjustment

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