JR Corporation has a debit balance of $3,750 in Allowance for Bad Debts. If it estimates that 2 percent of the net sales of $1,500,000 will be uncollectible, it should debit
A) Allowance for Bad Debts for $30,000
B) Allowance for Bad Debts for $33,750
C) Bad Debt Expense for $33,750
D) Bad Debt Expense for $30,000
Correct Answer:
Verified
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