Use the following information for Questions 22-23. ABC company has a balance of $400,000 in accounts receivable and a $15,000 credit balance in the allowance for doubtful accounts at 12/31/15 (prior to adjusting entries). During the year, the company made $10,000,000 in credit sales. ABC managers estimate that 10% of the 12/31/15 accounts receivable balance will become uncollectible at some point. Based upon the given information, determine the following 22.Bad debt expense for 2015 A.$25,000 B.$40,000 C.$55,000 D.$1,000,000 E.$985,000 F.None of the above 23.Balance in the allowance for doubtful accounts at 12/31/15 (after adjusting entries) A.$25,000 B.$40,000 C.$55,000 D.$1,000,000 E.None of the above 24.ABC company uses the allowance method to account for uncollectible accounts. During 2015, the company became aware of several accounts that would not be paid, and thus the company decided to write-off those accounts. The journal entry to record the write-off would include a debit to which account? A.Accounts receivable B.Allowance for doubtful accounts C.Bad debt expense D.Sales, Returns, and Allowances E.Both A and C 25.ABC company uses the allowance method to account for uncollectible accounts. During 2015, the company became aware of several accounts that would not be paid, and thus the company decided to write-off those accounts. Subsequent to the write-offs, ABC received payment from one of the written- off accounts. In recording the journal entries to reflect this subsequent collection, which of the following accounts increased overall? A.Accounts receivable B.Allowance for doubtful accounts C.Bad debt expense D.Sales, Returns, and Allowances E.None of the above