Question: A company uses the allowance method for bad debt expense. At the end of the year, they estimate that 2 % of their $ 5

A company uses the allowance method for bad debt expense. At the end of the year, they estimate that 2% of their $500,000 in Accounts Receivable is uncollectible. If the Allowance for Doubtful Accounts has a credit balance of $3,000 before adjustment, what is the amount of bad debt expense to be recorded?
A) $7,000
B) $10,000
C) $13,000
D) $2,000
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