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The Following Information Is from the 2016 Records of Armadillo

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The following information is from the 2016 records of Armadillo Camera Shop:
 Accounts receivable, 31 December 2016 $20000 (debit)   Net credit sales for 2016 95000 Accounts written off as uncollectable during 2016 7000 Cash sales during 2016 27000\begin{array} { | l | r | } \hline \text { Accounts receivable, 31 December 2016 } & \$ 20000 \text { (debit) } \\\hline \text { Net credit sales for 2016 } & 95000 \\\hline \text { Accounts written off as uncollectable during 2016 } & 7000 \\\hline \text { Cash sales during 2016 } & 27000 \\\hline\end{array}
Bad debts expense is determined by the direct write-off method.Which of the following will be the amount of Bad debts expense?


Definitions:

Applied Research

Research aimed at solving practical problems rather than acquiring knowledge for knowledge's sake.

Alternative Explanations

Different interpretations or reasons for observed phenomena, considered during the analysis to ensure accurate conclusions.

Illusory Correlations

The perception of a relationship between two variables even when no such relationship exists.

Applied Research Study

Research focused on finding practical solutions to specific problems rather than gaining theoretical knowledge.

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