Question - Sweet Company has recorded bad debt expense in the past at a rate of 1.5% of accounts receivable, based on an aging analysis. In 2017, Sweet decides to increase its estimate to 2%. If the new rate had been used in prior years, cumulative bad debt expense would have been $390,500 instead of $300,000. In 2017, bad debt expense will be $121,900 instead of $97,100. If Sweet's tax rate is 30%, what amount should it report as the cumulative effect of changing the estimated bad debt rate?