At January 1,Davidson Services Has the Following Balances: During

Multiple Choice

At January 1,Davidson Services has the following balances: During the year,Davidson has $104,000 of credit sales,collections of $100,000,and write-offs of $1,400. Davidson records Uncollectible account expense at the end of the year using the percent-of-sales method,and applies a rate of 1.1%,based on past history.
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Prior to the year-end entry to adjust the Uncollectible accounts expense,what is the balance in the Allowance for uncollectible accounts?

A) Debit of $1,400
B) Credit of $800
C) Debit of $600
D) Credit of $2,200