Wood SA factored 150,000 of accounts receivable with Engram Factors, without guarantee of credit loss. Engram assesses
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Wood SA factored €150,000 of accounts receivable with Engram Factors, without guarantee of credit loss. Engram assesses a 2% finance charge of the amount of accounts receivable and retains an amount equal to 6% of accounts receivable for possible adjustments. Prepare the journal entry for Wood SA and Engram Factors to record the factoring of the accounts receivable to Engram.
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Related Book For
Intermediate Accounting IFRS
ISBN: 9781119607519
4th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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