Multiple Choice
Nugyen recorded sales of $280 000 during the year. Of these, $180 000 were on credit. Bad debts in the past have averaged 1% of credit sales. Using the income statement method, the amount to provide for estimated bad debt expense for the year is:
A) nil.
B) $180.
C) $2800.
D) $1800.
Correct Answer:
Verified
Correct Answer:
Verified
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