On its December​ 31, Year​ 2, balance​ sheet, Red Rock Candle Company reported accounts receivable of​ $855,000 net of an allowance for doubtful accounts of​ $45,000. On December​ 31, Year​ 3, Red​ Rock's balance sheet showed gross accounts receivable of​ $922,000, and Red​ Rock's income statement reported credit sales of​ $3,000,000. During the​ year, accounts receivable of​ $35,000 were written off and​ $18,000 were recovered. Based on past​ experience, 5% of Red​ Rock's ending accounts receivable are uncollectible. How much should Red Rock report as bad debt expense on its Year 3 income​ statement?