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Assume simple co had credit sales of

03/05/2021 Client: muhammad11 Deadline: 2 Day

Assume Simple Co. had credit sales of $ 250,000 and cost of goods sold of $ 150,000 for the period. Simple uses the percentage of credit sales method and estimates that 1 percent of credit sales would result in uncollectible accounts. Before the end-of-period adjustment is made, the Allowance for Doubtful Accounts has a credit balance of $ 250. What amount of Bad Debt Expense would the company record as an end-of-period adjustment?

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