Question: On June 2 , 2 0 2 2 , Juan s TV Sales sold Mark a large HD TV on account for $ 1 2

On June 2,2022, Juans TV Sales sold Mark a large HD TV on account for $12,000. Juans TV Sales uses the accrual method. In 2023, when the balance on the account was $8,000, Mark filed for bankruptcy. Juan was notified that he could not expect to receive any of the amount owed to him. In 2024 final settlement was made and Juan received $1,000. How much bad debt loss can Juan deduct in 2024?
a.
$0
b.
$7,000
c.
$8,000
d.
$12,000

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