Clay City levied property taxes of $600,000 for the current year, and estimated that $25,000 would be uncollectible. Which of the following is the correct general fund journal entry to record the property tax levy?
| Debit | Credit | | A. Property taxes receivable–current | $600,000 | | | Property tax revenue | | $600,000 | | B. Property taxes receivable–current | $575,000 | | | Bad debt expense | 25,000 | | | Property tax revenue | | $600,000 | | C. Property taxes receivable–current | $600,000 | | | Property tax revenue | | $575,000 | | Allowance for uncollectible property taxes–current | | 25,000 | | D. Property taxes receivable–current | $600,000 | | | Bad debt expense | 25,000 | | | Property tax revenue | | $600,000 | | Allowance for uncollectible property taxes–current | | 25,000 |
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