Answer:
Debit Bad debts expense $11,000
Credit Allowance for doubtful accounts $11,000
Explanation:
Incomplete question: A company uses the percent of receivables method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts:
Accounts receivable: $445,000 Debit
Allowance for Doubtful Accounts: 1,350 Debit
Net Sales: 2,200,000 Credit
Estimated bad debts = $2,200,000*0.5%
Estimated bad debts = $11,000
Account titles & Explanations Debit Credit
Bad debts expense $11,000
Allowance for Doubtful accounts $11,000