An Aging of a Company's Accounts Receivable Indicates That Estimate

Multiple Choice

An aging of a company's accounts receivable indicates that estimate of the uncollectible accounts totals $4,000. If Allowance for Doubtful Accounts has a $800 credit balance, the adjustment to record the bad debt expense for the period will require a

A) debit to Allowance for Doubtful Accounts for $3,200.
B) debit to Bad Debt Expense for $3,200.
C) debit to Allowance for Doubtful Accounts for $4,000.
D) credit to Allowance for Doubtful Accounts for $4,000.