A company has net credit sales of $750000 for the year and it estimates that uncollectible accounts will be 3% of sales. If Allowance for Doubtful Accounts has a credit balance of $3000 prior to adjustment its balance after adjustment will be a credit of
A) $19500.
B) $22500.
C) $22560.
D) $25500.

Question

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The Answer of A company has net credit sales of $750000 for the year and it estimates that uncollectible accounts will be 3% of sales. If Allowance for Doubtful Accounts has a credit balance of $3000 prior to adjustment its balance after adjustment will be a credit of
A) $19500.
B) $22500.
C) $22560.
D) $25500.

A Company Has Net Credit Sales of $750000 for the Year