During 20X1, Thomas Company recorded bad debt expense of $15,000 and wrote off an uncollectible trade receivable amounting to $5,000. Assuming a January 1, 20X1, credit balance in the allowance for doubtful accounts of $10,000, the December 31, 20X1, balance in the allowance account would be which of the following?
A) $5,000.
B) $15,000.
C) $20,000.
D) $25,000.
Correct Answer:
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