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Question - David Company had the following information in 2014.
Accounts receivable 12/31/14 - $14,000
Allowance for uncollectible account 12/31/14 - $900
Credit sales during 2014 - $37,000
Cash sales during 2014 - $16,000
Collections from customers on account during 2014 - $47,000
Uncollectible accounts are determined by the percent-of-sales method to be 4% of credit sales. How much is uncollectible-account expense for 2014?
A. $1480
B. $2120
C. $560
D. $900
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