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A Company sold $40,000 of its accounts receivable and was charged a 3.5% factoring fee. How should the company record this transaction in the journal?
A Company sold $40,000 of its accounts receivable and was charged a 3.5% factoring fee. How should the company record this transaction in the journal? |
Cash | 40,000 | |
Factoring Fee Expense | 1,400 | |
Account Receivable | 38,600 |
Cash | 38,600 | |
Factoring Fee Expense | 1,400 | |
Account Receivable | 40,000 |
Cash | 40,000 | |
Account Receivable | 40,000 |
Account Receivable | 38,600 | |
Factoring Fee Expense | 1,400 | |
Cash | 40,000 |
Account Receivable | 40,000 | |
Factoring Fee Expense | 1,400 | |
Cash | 38,600 |
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