0/1 pts Question 1 USE THE FOLLOWING INFORMATION TO ANSWER THE NEXT (3) QUESTIONS: Desert Corporation factored, with recourse, $600,000 of accounts receivable with Jungle Financing. The agreement met all three conditions to be considered an outright sale. Jungle advanced 92% of the amount factored and retained the remainder to cover a 3% finance fee (to be remitted at the end of the agreement) and any sales returns/allowances/discounts. The recourse obligation is estimated to be 2.4% of accounts factored. Desert estimates the fair value of the final 8% of the receivables factored to be $43,000. Determine the effect of this transaction on Desert's financial position: (Use I for increased; D for decreased; or NE for No Effect. If there is an Effect, state the dollar amount. Indicate the letter first, then the number. Do not space between the letter and number. Do not use commas. For example, if your answer is "Decreased by $4,000", enter D4000) Effect on Assets: D60400 1/1 pts Question 2 Continuing from Question 1 Effect on Liabilities: l14400 0/1 pts Question 3 Continuing from Question 1 Effect on Total Stockholder's Equity: NE 0/1 pts Question 1 USE THE FOLLOWING INFORMATION TO ANSWER THE NEXT (3) QUESTIONS: Desert Corporation factored, with recourse, $600,000 of accounts receivable with Jungle Financing. The agreement met all three conditions to be considered an outright sale. Jungle advanced 92% of the amount factored and retained the remainder to cover a 3% finance fee (to be remitted at the end of the agreement) and any sales returns/allowances/discounts. The recourse obligation is estimated to be 2.4% of accounts factored. Desert estimates the fair value of the final 8% of the receivables factored to be $43,000. Determine the effect of this transaction on Desert's financial position: (Use I for increased; D for decreased; or NE for No Effect. If there is an Effect, state the dollar amount. Indicate the letter first, then the number. Do not space between the letter and number. Do not use commas. For example, if your answer is "Decreased by $4,000", enter D4000) Effect on Assets: D60400 1/1 pts Question 2 Continuing from Question 1 Effect on Liabilities: l14400 0/1 pts Question 3 Continuing from Question 1 Effect on Total Stockholder's Equity: NE