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Question - Herman Company has a debit balance of $5,000 in its Allowance for Doubtful Accounts before any adjustments are made at the end of the year. Based on review and aging of its accounts receivable at the end of the year, Herman estimates that $70,000 of its receivables are uncollectible. What the amount of bad debt expense which should be reported for the year?
A. $75,000.
B. $70,000.
C. $5,000.
D. $65,000.
The yearly lease payments amount to P120,000, payable at the end of each year. How much is the cost of goods sold recognized
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