The Dubious Company operates in an industry where all sales are made on account. The company has experienced bad debt losses of 1.10% of credit sales in prior periods. Presented below is the company's forecast of sales and expenses over the next three years Year 1 Year 2Year 3 Sales Revenue 374,000 S 380,000 UnknownUnknown 338,000 Bad Debt Other Expenses Net Income 379,000 Unknown 339,750 UnknownUnknown Expense 340,000 Unknown Required: a. Caleulate Bad DobtEpense and net income for each of the three years, ass uming uncoledibile Year 1 Year 2 Year 3 Bad Debt Expense Net Income Bad Debt Expense Net Income C. Assume that the company changes its estimate of uncollectible credit sales to 1.10% in year 1, 2.10% in ear 2 and 1.60% in year 3, Calculate the Bad Debt Expense and net incorme for each of the three years under this alternative scenario. Year 1 Year 2 Year 3 Bad Debt Expense Net Income
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