Data for the year ended December $31$ are presented below.

Sales $(100\%$ on credit$)$

$$2,100,000$

Sales returns

$150,000$

Accounts Receivable $($December $31)$

$420,000$

Allowance for Doubtful Accounts

$($Before adjustment at December $31)$

$25,000$

Estimated amount of uncollected accounts based on an aging analysis

$75,000$

If the company uses $4\%$ of net credit sales to estimate its bad debts, what will be the balance in the Allowance for

Doubtful Accounts account after the adjustment for bad debts?