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The balance in Glencoe€™s allowance for doubtful accounts at the beginning of the year was $58,620 (credit). During the year, accounts in the total amount of $62,400 were written off.
Required:
1. Determine bad debt expense.
2. Prepare the journal entry to record bad debt expense.
3. By how much would bad debt expense reported on the income statement have changed if Glencoe had written off $90,000 of receivables as uncollectible during the year?
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