Brown Furniture Company decided to go after the younger market to create a newer customer base. In ...

Brown Furniture Company decided to go after the younger market to create a newer customer base. In doing so, Ms. Brown offered a liberal credit policy and estimated she would have a 5% bad debt expense.  In 2016, sales under this promotion were $600,000. Accordingly, she estimated a bad debt expense of $30,000.  Her actual bad debt expenses were far less than expected, at about 3%, and this rate will be used for 2017.  Her 2017 sales under the program are $860,000.  How much bad debt expense should be reported on comparative income statements based on this information?
A) 2016, $18,000; 2017, $25,800
B) 2016, $30,000; 2017, $30,000
C) 2016, $30,000; 2017, $25,800
D) 2016, $30,000; 2017, $43,000