An Aging of a Company's Accounts Receivable Indicates That $4,000

Multiple Choice

An aging of a company's accounts receivable indicates that $4,000 are estimated to be uncollectible. If Allowance for Doubtful Accounts has a $1,200 credit balance, the adjustment to record bad debts for the period will require a

A) debit to Bad Debts Expense for $4,000.
B) debit to Allowance for Doubtful Accounts for $2,800.
C) debit to Bad Debts Expense for $2,800.
D) credit to Allowance for Doubtful Accounts for $4,000.