Ornate Inc. ended 20X3 with $400 in allowance for bad debts. 

In 20X4, Ornate wrote off $360 in accounts receivable that appear to be uncollectible

. At the end of 20X4, Ornate recorded bad debt expense of $330.

 What is the balance in the allowance for doubtful accounts at the end of 20X4? 

1. $370 2. $730 3. $60 4. $690