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Business, 26.02.2020 05:51 Kategaldamez3

Beautiful Lawns Company estimates its doubtful accounts by aging its accounts receivable and applying percentages to various aged categories of accounts. The Beautiful Lawns Company computes a total of $3,600 in estimated doubtful accounts as of December 31, 2016. Its Accounts Receivable account has a balance of $112,800 and Its Allowance for Doubtful Accounts G a credit balance of $600 before adjustment at December 31, 2016. How much bad debts expense will Beautiful Lawns report in 2016?

a. $480
b. $3,840
c. $3,000
d. $3,360

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