TB MC Qu$.07-105($Algo$)$ A company uses the percent of sales method to determine...

A company uses the percent of sales method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts:

$\backslash$table$[[$Accounts Receivable $,$$$385,000$ debit,$],[$Net Sales,$900,000$ credit$]]$

All sales are made on credit. Based on past experience, the company estimates that $0\mathrm{.}4\%$ of net sales are uncollectible. What amount should be debited to Bad Debts Expense when the year$-$end adjusting entry is prepared?