1. Brandon Corporation sold its accounts receivable on a without recourse basis to the Bank of Terrace Bay on July 1, 2021. Additional information about the assignment arrangement follows: marks Amount of accounts receivable sold to the Bank of Terrace Bay $ 874,301 Sale proceeds withheld by Terrace Bay for expected future returns 5% (as percentage of accounts receivable) Amount of commission charged by Terrace Bay to Brandon (as 4% percentage of accounts receivable) Brandon Corporation follows ASPE. Required: 1. Prepare journal entries for Brandon Corporation and the Bank of Terrace Bay for the transfer of receivables on July 1, 2021. (5 marks) 2. Assume instead that Brandon Corporation sold its receivables on a with- recourse basis to the Bank of Terrace Bay on July 1, 2021. The estimated fair value of the recourse obligation is as follows: Estimated fair value of recourse obligation 5,607 Prepare the journal entry required for Brandon Corporation on July 1, 2021. (3 marks) 2. On August 31, 2021, Barnie Company made a loan, accepting a promissory note from Flintstone Inc. The note has a due date of August 31, 2024. Barnie will receive interest on the note on August 31 of each year. Assume that Barnie Company follows IFRS and has a year end of December 31. parks Face value of promissory note $ 414,000 Stated rate of interest for the note 4% Market rate of interest for a note of similar risk 10% Required: 1. Calculate the present value of the note on the date of issue. (2 marks) 2. Prepare an amortization table for the entire term of the loan. (3 marks) 3. Prepare the journal entries required on each of the following dates: (a) August 31, 2021 (1 mark) (b) December 31, 2021 (2 marks) (c) August 31, 2022 (2 marks)