Wrangler Inc.uses the percentage of credit sales method to estimate Bad Debt Expense.At the end of the year,the company's unadjusted trial balance includes the following:

Wrangler has experienced bad debt losses of 0.5% of credit sales in prior periods.What is the Bad Debt Expense to be recorded for the year?
A) $4,500
B) $4,300
C) $4,700
D) $45,000

Question

Wrangler Inc.uses the percentage of credit sales method to estimate Bad Debt Expense.At the end of the year,the company's unadjusted trial balance includes the following:

Wrangler has experienced bad debt losses of 0.5% of credit sales in prior periods.What is the Bad Debt Expense to be recorded for the year?
A) $4,500 
B) $4,300 
C) $4,700 
D) $45,000

Quizplus · Accepted Answer

The Answer of Wrangler Inc.uses the percentage of credit sales method to estimate Bad Debt Expense.At the end of the year,the company's unadjusted trial balance includes the following:

Wrangler has experienced bad debt losses of 0.5% of credit sales in prior periods.What is the Bad Debt Expense to be recorded for the year?
A) $4,500 
B) $4,300 
C) $4,700 
D) $45,000