White Company provides for bad debts expense at the rate of 2% of credit sales. The following data are available for 2014:

Allowance for doubtful accounts, 1/1/14 (Cr.) $21,000
Accounts written off as uncollectible during 2014. 13,000
Credit sales in 2014 3,000,000
The Allowance for Doubtful Accounts, balance at December 31, 2014, should be:

a. $68,000

b. $60,000

c. $50,000

d. $13,000

Answer rating: 100% (QA)

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