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| Taylor,s receivables ledger control account shows a balance of $7,000. She has not yet recorded the following transactions: She wants to introduce a general allowance of 5% of receivables. A specific allowance is required for Webb Limited^ debt of $250. A debt of $625 specifically provided for last year is now definitely irrecoverable. What is the amount to be charged to the income statement for bad and doubtful debts at the end of the year? A $875 B $1,181 C $600 D $556 |