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The current credit balance in allowance for doubtful accounts is $1,150. Management estimates that 2% of net credit sales of $100,000 will be uncollectible. Based

The current credit balance in allowance for doubtful accounts is $1,150. Management estimates that 2% of net credit sales of

$100,000 will be uncollectible. Based on the foregoing data, what is the bad-debt expense balance on the income statement?

A. $2,000

B. $850

C.

$2,850

D. 3150

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