Todd Company has been in business several years. At the end of the current year, the ledger

Question:

Todd Company has been in business several years. At the end of the current year, the ledger shows:
Accounts Receivable .......... $ 310,000 Dr.
Sales Revenue................2,200,000 Cr.
Allowance for Doubtful Accounts ....... 4,700 Cr.
Bad debts are estimated to be 5% of receivables. Prepare the entry to adjust Allowance for Doubtful Accounts.