Your firm uses the allowance method for bad debt expense. When, on May 6, you receive confirmation that Customer A is bankrupt and its $400 account receivable is worthless, you will:

A. Debit Bad Debt Expense for $400B. Debit Allowance for Doubtful Accounts for $400C. Debit Accounts Receivable for $400D. Credit Allowance For Doubtful Accounts for $400