Thompson Corporation's Unadjusted Trial Balance Includes the Following Balances (Assume $\quad \quad \quad \quad \quad \$ 1,865,000$

question 67

Multiple Choice

Thompson Corporation's unadjusted trial balance includes the following balances (assume normal balances) : - Accounts receivable $\quad \quad \quad \quad \quad \$ 1,865,000$
- Allowance for doubtful accounts $\quad \$ 35,500$ Bad debts are estimated to be 6% of outstanding receivables. What amount of bad debt expense will the company record?

• A)$119,400
• B)$76,400
• C)$74,270
• D)$114,030

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Definitions:

Plaintiff

The party who initiates a lawsuit in civil court, claiming to have incurred loss or damage as a result of the defendant's actions.

Tort of Defamation

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