The information below applies to a sole trader. Allowance for irrecoverable debts at the beginning of the year: $1400 Total trade receivables at the year end: $36000 At the year end, a decision was made to write off $1000 as irrecoverable debts and to keep the allowance for irrecoverable debts at $3\%$ of trade receivables. What entry should be made in the allowance for irrecoverable debts account?
- A$320 debit
- B$320 credit
- C$350 debit
- D$350 credit