You are watching: Which of the following is true when accounts receivable are factored without recourse?
David agency uses the gross method to document sales made on credit. On June 10, 2017, the sold products worth $250,000 through terms 2/10, n/30 come Charles Inc. On June 19, 2017, David obtained payment for 1/2 the the lot due indigenous Charles Inc. David"s fiscal year end is on June 30, 2017. What amount will certainly be report in the jae won statements for the accounts receivable due native Charles Inc.?
Wellington Corp. Has outstanding accounts receivable totaling $1.27 million together of December 31 and sales ~ above credit during the year that $6.4 million. There is also a debit balance of $6,000 in the allowance for doubtful accounts. If the agency estimates that 2% the its account receivable will be uncollectible, what will certainly be the balance in the pin money for hesitant accounts ~ the year-end adjustment to record bad debt expense?
During the year, Kiner agency made an entrance to create off a $32,000 uncollectible account. Before this entry to be made, the balance in accounts receivable to be $400,000 and the balance in the pin money account was $36,000. The network realizable worth of accounts receivable after the write-off entry was
Equestrain Roads embraced a customer"s $100,000 zero-interest-bearing six-month note in a sales transaction. The product sold generally sells for $92,000. If the sale was made ~ above June 30, exactly how much attention revenue indigenous this transaction would be taped for the year finishing December 31?
Sun Inc. Factors $6,000,000 the its account receivables through recourse for a finance fee of 3%. The finance agency retains one amount same to 10% the the accounts receivable for feasible adjustments. Sun approximates the fair value of the termination liability at $300,000. What would certainly be recorded as a obtain (loss) top top the move of receivables?
On February 1, 2017, Henson agency factored receivables with a transferring amount of $700,000 to Agee Company. Agee agency assesses a finance fee of 3% of the receivables and also retains 5% the the receivables. Loved one to this transaction, you space to identify the quantity of loss on sale to be report in the earnings statement that Henson firm for February. Assume the Henson determinants the receivables top top a without recourse basis. The loss to be reported is
On February 1, 2017, Henson firm factored receivables with a carrying amount that $700,000 come Agee Company. Agee firm assesses a finance fee of 3% of the receivables and retains 5% the the receivables. Loved one to this transaction, you space to identify the lot of lose on revenue to be report in the earnings statement of Henson company for February.Assume the Henson factors the receivables on a with recourse basis. The termination obligation has a fair worth of $3,500. The loss to be reported is
See more: Club America Vs Real Madrid Vs America Highlights, Club America Vs Real Madrid 0