Castle company provides estimates for its uncollectible.

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Castle Company provides estimates for its uncollectible accounts. The allowance for uncollectible accounts had a credit balance of $17,630 at the beginning of 2016 and a $23,110 credit balance at the end of 2016 (after adjusting entries). If the direct write-off method had been used to account for uncollectible accounts (bad debt expense equals actual write-offs), the income statement for 2016 would have included bad debt expense of $17,800 and revenue of $2,900 from the collection of previously written off bad debts.

Required:

Determine bad debt expense for 2016 according to the allowance method.

Reference no: EM13954544

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