debit to Bad Debts Expense for $ 10,000 . debit to Allowance for Doubtful Accounts for $ 8,900 . 9- Multiple Choice Question 71 A reasonable amount of uncollectible accounts is evidence that the credit policy is too strict . of poor judgments on the part of the credit manager . that the credit policy is too lenient . of a sound credit policy . 10- Multiple Choice Question 105
Kill Corporation ’ s unadjusted trial balance includes the following balances ( assume normal balances ):
Accounts Receivable $ 750,000 Allowance for Doubtful Accounts 15,000
Bad debts are estimated to be 6 % of outstanding receivables . What amount of bad debts expense will the company record ?
$ 15,000 $ 44,100 $ 30,000 $ 45,000