At December 31, 201X, Aaron's Produce Unadjusted Allowance for Doubtful

Multiple Choice

At December 31, 201X, Aaron's Produce unadjusted Allowance for Doubtful Accounts showed a credit balance of $520. An aging of the Accounts Receivable indicates probable uncollectible accounts of $4,000. The year-end adjusting entry for Bad Debts Expense:

A) includes a credit to the Allowance account for $3,480.
B) includes a debit to the Allowance account for $520.
C) includes a debit to the Allowance account for $4,000.
D) includes a credit to the Allowance account for $4,520.