Allegheny Company ended 2015 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $58,000 and $2,700, respectively. During 2016, Allegheny wrote off $4,800 of bad debts. After aging your accounts receivable, Allegheny estimates that the ending balance of the Allowance for Doubtful Accounts should be $4,400. 

What will Allegheny report as bad debt expense on its 2016 income statement?

Answer rating: 100% (QA)

To calculate the bad debt expense that Allegheny will report on its 2016 in... View the full answer