The Stevens Company provided $54,000 of services on account during 2014, its first year in operation. During 2014, Stevens collected $38,500 of cash from its receivables accounts. The company estimates that it will be unable to collect 3% of its revenues on account. The amount of uncollectible accounts expense recognized on the 2014 income statement was

$405.

$9,625.

$1,620.

$3,875.