At the Beginning of 2017,Brady,Inc

question 81

Multiple Choice

At the beginning of 2017,Brady,Inc.has the following account balances:
Accounts Receivable $45,000 (Debit)
Allowance for Bad Debts $5,000 (Credit)
Bad Debts Expense $0
During the year,credit sales amounted to $810,000.Cash collected on credit sales amounted to $780,000,and $16,000 has been written off.At the end of the year,the company adjusted for bad debts expense using the percent-of-sales method and applied a rate,based on past history,of 3.5%.The amount of bad debts expense for 2017 is ________.

• A)$28,350
• B)$57,225
• C)$16,000
• D)$17,350

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