The Clifford company use the allowance method and estimates its bad debt expense using a percentage of accounts receivable before the adjusting entry the allowance for doubtful accounts had a $425 debit balance based on aged receivables clifford estimates that $3700 of accounts receivable will be uncollectible what is the amount of bad debt expense recognized for the current year ?

a. 3700

b. 4125

c. 3275

d. none