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At the end of 2014, Duffau Company had outstanding accounts receivable of $109,760. Before recording the adjusting entry for uncollectible accounts, the balance in the Allowance for Doubtful Accounts was $350. If Duffau estimates that it will not collect 4 percent of its accounts receivable, what amount of uncollectible accounts expense should Duffau record? Round to the nearest dollar.
1) $4,040
2) $4,740
3) $4,390
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