At the end of October, Santa Fe Companys management estimates the uncollectible accounts expense to be 1

Question:

At the end of October, Santa Fe Company’s management estimates the uncollectible accounts expense to be 1 percent of net sales of $1,385,000. Prepare the journal entry to record the uncollectible accounts expense, assuming the Allowance for Uncollectible Accounts has a debit balance of $7,000.