The trial balance before adjustment of Sunland Company reports the following balances:

		Dr.		Cr.
Accounts receivable		$167,000
Allowance for doubtful accounts				$2,810
Sales (all on credit)				700,000
Sales returns and allowances		75,000

(a)

Prepare the entry for estimated bad debts assuming that doubtful accounts are estimated to be 15% of gross accounts receivable. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Account Titles and Explanation	Debit	Credit

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