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X Company calculates that this year year's estimated bad debts expense will be $7500. When X Company makes the adjusting entry, what will be the

X Company calculates that this year year's estimated bad debts expense will be $7500. When X Company makes the adjusting entry, what will be the effect on the following?

Bad/Doubtful Debt Expense

Allowance for Doubtful Debts

Gross Account Receivable

a. No affect / Increase / Decrease

b. No affect / Decrease / No affect

c. Increase / Increase / No affect

d. Increase / No effect / Decrease

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