At the Beginning of 2016,Peter Dots Has the Following Ledger

question 54

Multiple Choice

At the beginning of 2016,Peter Dots has the following ledger balances:
Accounts receivable

Allowance for doubtful debts

Bad debts expense

During the year,credit sales amounted to $810,000.Cash collected on credit sales amounted to $790,000 and $16,000 was written off.At the end of the year,the company adjusted for bad debts expense using the percentage of sales method and applied a rate,based on past history,of 3.5%.The ending balance in Bad debts expense would be:

• A) $57,540
• B) $28,350
• C) $16,000
• D) $20,350

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Definitions:

Cultural Beliefs

The shared norms and values that guide the behavior and decisions of a group of people within a particular culture.

Schizotypal Personality Disorder

A mental health condition marked by severe social anxiety, thought disorder, paranoid ideation, derealization, transient psychosis, and often unconventional beliefs.

Genetic Linkage

The tendency of genes located close together on the same chromosome to be inherited together, influencing traits or diseases.

Dopamine

A neurotransmitter involved in controlling the brain's reward and pleasure centers, as well as regulating movement and emotional responses.