Yount Corp. has an Accounts Receivable balance of $1.25 million and Allowance for Doubtful Accounts balance of $6,000 debit as of Jan 1, 2020. During the year, Yount had credit sales of $6.4 million, wrote off $20,000 of bad debts and recovered $15,000 of accounts previously written off. The company estimates that 2% of its accounts receivable will be uncollectible.

What is the amount of Bad Debt Expense for the year ended December 31, 2020? Clearly label all calculations to receive credit for correct numbers or partial credit where appropriate