The following information pertains to Lightning Inc., at the end of December:

Credit Sales	$	20,000
Accounts Payable		10,000
Accounts Receivable		10,900
Allowance for Uncollectible Accounts		400	credit
Cash Sales		20,000

Lightning uses the aging method and estimates it will not collect 7% of accounts receivable not yet due, 19% of receivables up to 30 days past due, and 45% of receivables greater than 30 days past due. The accounts receivable balance of $10,900 consists of $7,500 not yet due, $1,700 up to 30 days past due, and $1,700 greater than 30 days past due. What is the appropriate amount of Bad Debt Expense?

Multiple Choice

• $1,213.

• $323.

• $1,014.

• $400.