A company uses the percent of sales method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts:     Accounts receivable$363,000?debitAllowance for uncollectible accounts 580?debitNet Sales 808,000?credit All sales are made on credit. Based on past experience, the company estimates that 0.6% of net credit sales are uncollectible. What amount should be debited to Bad Debts Expense when the year-end adjusting entry is prepared? 

A. $1598
B. $4848
C. $2758
D. $5428
E. $4268


Answer: B

Business

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