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There are two commonly used methods to estimate bad debt expense. One is Aging of Accounts Receivable method, the other is Percentage of Sales method.

There are two commonly used methods to estimate bad debt expense. One is Aging of Accounts Receivable method, the other is Percentage of Sales method. Under each method, what is the relationship between the estimate bad debt expense amount and the ending balance of 'Allowance for Doubtful Accounts'?

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