Use This Information to Answer the Following Questions

Use this information to answer the following questions:
At year-end, Shifty Ltd had a balance of accounts receivable of $90 000 and an allowance for doubtful debts of $4000. It was decided to write off the debt of Wriggler, totalling $2500, as irrecoverable. It was further decided that the allowance for doubtful debts should stand at 5% of accounts receivable.
-The allowance for doubtful debts account would appear in the balance sheet under:

A) current assets
B) current liabilities
C) shareholders' equity
D) property,plant and equipment.