1. Popper Enterprises factors $700,000of its accounts receivables to Third Bank with recourse for a finance charge of 4?%. The finance company retains an amount equal to? 7% of the accounts receivable for possible adjustments. Third Bank will return the hold back to Popper when it collects the receivables. In? addition, the fair value of the recourse liability is estimated at? $20,000. What amount of cash would Popper receive as a result of this? transaction?

A. $623,000 B. $665,000 C. $680,000 D. $700,000

2. Which ratio indicates the effectiveness of a? company's credit extension? policy?

A. inventory turnover B. accounts payable turnover C. days inventory on hand D. days sales outstanding

3. What type of account is Discount on Note? Receivable?

A. asset B. contra?revenue C. revenue D. contra?asset