Temper Company Has Credit Sales of $3

Multiple Choice

Temper Company has credit sales of $3.10 million for year 2013.Temper estimates that .9% of the credit sales will not be collected.On December 31,2013,the company's Allowance for Doubtful Accounts has an unadjusted credit balance of $2,222.Assuming the company uses the percent of sales method,what is the amount that Temper will enter as the Bad Debt Expense in the December 31 adjusting journal entry?

A) $25,246.40
B) $27,468.40
C) $23,024.40
D) $27,900.00
E) $24,420.40