Class Quest Company had the following balances as at January 1, 2016: Accounts Receivable $600,000...
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Accounting
Class Quest Company had the following balances as at January 1, 2016: Accounts Receivable $600,000 Debit Allowance for Doubtful Accounts $32,000 Credit During the fiscal year 2016 (Jan 1 to Dec 31 2016), the company had the following transactions: Total Sales $7,200,000 (of which 45% represents cash sales). Cash collected from credit customers $3,000,000 Write-offs of uncollectible accounts $22,000. Required:If the company estimates that 2.80% of the Accounts Receivable Balance is uncollectible, what amount would the company record as the bad debts expense for the year?
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