For the Year Ended December 31, 2020, Ferguson Corp For the Year Ended December 31, 2020, Ferguson's Bad Debt

Multiple Choice

For the year ended December 31, 2020, Ferguson Corp. estimated its allowance for doubtful accounts using the year-end aging of accounts receivable. Additional information for calendar 2020 follows: $\begin{array}{llcc} \text {Allowance for doubtful accounts, beginning. } & \$74,000 \\ \text {Estimated uncollectible accounts during 2020 } &\\ \text { \( (1 \% \) of credit sales of \( \$ 8,000,000) \) } &80,000\\ \text { Uncollectible accounts written off during year. } &104,000\\ \text {Estimated uncollectible accounts per year-end aging. } &148,000\\\end{array}$
For the year ended December 31, 2020, Ferguson's bad debt expense should be

A) $74,000.
B) $104,000.
C) $178,000.
D) $252,000.