WAXS-D, merchandisers of musical instruments, has provided the following details: Credit terms are: 4/20,n/45, FOB shipping point. Calculate the net cost of inventory purchased assuming that there are no other inventory-related transactions during the month. Supporting Materials \begin{tabular}{c} $713,000 \\ \hline$665,280 \\ \hline$658,000 \\ \hline$666,680 \end{tabular} The Allowance for Bad Debts account has a credit balance of $2,000 before the adjusting entry for bad debts expense. The company's management estimates that 2% of net credit sales will be uncollectible for the year 2017. Net credit sales for the year amounted to $270,000. What will be the balance of Allowance for Bad Debts on the December 31, 2017 balance sheet? $5,400 $2,000 $7,400 $5,360