On Average,5% of Total Accounts Receivable Has Been Uncollectible in the Past.At

question 66

Multiple Choice

On average,5% of total accounts receivable has been uncollectible in the past.At the end of the year,the balance of accounts receivable is $100,000 and the allowance for doubtful accounts has an unadjusted credit balance of $500.Credit sales during the year were $150,000.Using the aging of accounts receivable method,the estimated bad debt expense would be:

• A)$4,500.
• B)$5,000.
• C)$7,000.
• D)$7,500.

---

Definitions:

Trading Partners

Companies or entities that engage in commerce with each other, involving the exchange of goods, services, or information.

European Union

A political and economic union of 27 European countries that are located primarily in Europe, committed to regional integration.

Asia-Pacific Region

The Asia-Pacific Region is a geographical area near the western Pacific Ocean, including countries in East Asia, Southeast Asia, and Oceania, known for its diverse cultures, economies, and strategic importance.

US Relations

The diplomatic, economic, social, and military interactions between the United States and other countries or international organizations.