estion Completion Status: ABC Company uses the allowance method for doubtful accounts. Total credit sales are $1,200,000, and accounts receivable on 12/31/2011 are $100,000. Bad debts are estimated at 5 % of accounts receivable. Assuming that the allowance for doubtful accounts currently has a debit balance of $100, bad debts expense for 2011 is. $5,000 $5,100 $4,900 $60,000 None of the above QUESTION 2 City Sales had net credit sales in June of $60,000. Accounts receivable are $10,000 and Allowance for Doubtful Accounts has a $300 credit balance. If City estimates bad debts as 5% of receivables, the net realizable value of the Accounts Receivable AFTER the adjusting entry is: $10,000 $9,700 $9,200 $9,500 None of the above. Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Close We 14 MacBook Pro