Fabricio, Inc The Amount Deductible for Bad Debt Expense on Fabricio's Tax

Fabricio, Inc.is an accrual-basis corporation.It ages its receivables to calculate the addition to its reserve for bad debts.The following were reported during the current year: $\begin{array}{llcc} \text { Credit sales} & \$300,000 \\ \text {Collections on credit sales } &260,000\\ \text { Amount added to the reserve for bad debts } &25,000\\ \text { Begining balance in the reserve } &0\\ \text {Identifiable bad debts written off during the current year } &18,000\\\end{array}$
The amount deductible for bad debt expense on Fabricio's tax return for the current year is:

A) $18,000
B) $25,000
C) $40,000
D) $43,000