Sales (100% on credit) $1,560,000
Sales Returns 60,000
Accounts Receivable (December 31, 2001) 250,000
Allowance for Doubtful Accounts (before adjustment at
December 31, 2001) 3,000

If Victory estimates its bad debts at 2% of net credit sales, what amount will be reported as bad debt expense for 2001?

Can someone please explain how to do this problem.