The Taylor Company accounts include the following 12/31 unadjusted balances:

Taylor Company estimates that 2% of this year's net credit sales will become uncollectible. After adjustment on December 31, the Bad Debt Expense account will have a balance of: Select one: a. $14,000 b. $26,000 c. $2,000 d. $60,000 e. $48,000

Credit Accounts Receivable Allowance for Doubtful Accounts Net Credit Sales Debit $700,000 12,000 $3,000,000