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At December 31, 2015, the trial balance of Darby Company contained the following amounts before adjustment.

  
Debits
 
Credits
Accounts Receivable $372,900  
Allowance for Doubtful Accounts   $ 1,400
Sales Revenue   946,200
 
 
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(a)

Based on the information given, which method of accounting for bad debts is Darby Company using—the direct write-off method or the allowance method?
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