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A company uses the percent of sales 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 | $ 358,000 | debit |
|---|---|---|
| Net Sales | 803,000 | credit |
All sales are made on credit. Based on past experience, the company estimates that 0.3% of net sales are uncollectible. What amount should be debited to Bad Debts Expense when the year-end adjusting entry is prepared?