(Answered) Question - skysong corporation factors 268100 of accounts

Accounting

Question - Skysong corporation factors $268,100 of accounts receivable with kathleen battle financing, Inc. on a with recourse basis. Kathleen Battle Financing will collect the receivables. The receivables records are transferred to Kathleen Battle Financing on August 15, 2017. Kathleen battle financing asses a finance charge of 2% of the amount of accounts receivable and also reserves an amount equal to 4% of accounts receivable to cover portable adjustments.

Assume that the conditions are met for the transfer of receivables with recourse to be accounted for as a sale. Prepare the journal entry on august 15, 2017, for skysong to record the sale of receivables, assuming the recourse liability has fair value of $4,380.

View complete question

Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M92502764
Price:- $25

Verified Expert

Priced at $50 Now at $25, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Accounting Basics

Question - beyer company is considering the purchase of an

Question - Beyer Company is considering the purchase of an asset for $180,000. It is expected to produce the following net cash flows. The cash flows occur evenly within each year. Assume that Beyer requires a 9% return ...

Question - make an adjusting journal entriesat december 31

Question - Make an Adjusting Journal Entries. At December 31, the Long-Term Investments (Available-for-sale securities or "AFS") had a fair value of $180,190. The AFS Investment was originally purchased on May 1, 2017 fo ...

Question - marvin services corporation had the following

Question - Marvin Services Corporation had the following accounts and balances: Accounts payable $12,000 Equipment $14,000Accounts receivable 2,000 Land14,000 Buildings? Unearned service revenue 4,000 Cash 6,000 Total st ...

Question - what are the steps to obtain the expected stock

Question - What are the steps to obtain the expected stock price 5 years from now if stock is currently selling for $62.8 per share? The dividend is projected to increase at a constant rate of 7.5% per year. Required rat ...

You are preparing golf clubs financial reports for june

You are preparing Golf Club's financial reports for June 2017, and the 30 June 2017 bank statement has just arrived with the balance of $29,930. Currently, Golf Club's Cash account shows a balance of $30,690. Additional ...

Question - geraldo recently won a lottery and chose to

Question - Geraldo recently won a lottery and chose to receive $145,000 today instead of an equivalent amount in 10 years, computed using an 8 percent rate of return. Today, he learned that interest rates are expected to ...

Question - lirin inc factors 6000000 of its accounts

Question - Lirin Inc. factors $6,000,000 of its accounts receivables without recourse for a finance charge of 5%. The finance company retains an amount equal to 10% of the amounts receivable for possible adjustments. Lir ...

Question - ralph henwood was paid a salary of 64600 during

Question - Ralph Henwood was paid a salary of $64,600 during 2018 by Odesto Company. In addition, during the year Henwood started his own business as a public accountant and reported a net business income of $70,000 on h ...

Question - computing a basket purchase allocation and

Question - Computing a Basket Purchase Allocation, and Recording Depreciation under Three Alternative Methods At the beginning of the year, Wong's Martial Arts Centre bought three used fitness machines from Hangar Inc. f ...

Question - bonita corporation had january 1 and december 31

Question - Bonita Corporation had January 1 and December 31 balances as follows. 1/1/17 12/31/17 Inventory $90,000 $109,000 Accounts payable 53,000 62,000 For 2017, cost of goods sold was $441,000. Compute Bonita's 2017 ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Accounting Basics Expert