Accounts receivable in the amount of $6,000 were assigned to On Time Finance Co. by Saturn as security for a loan of $5,000. On Time charged a 5% commission on the accounts; the interest rate on the note is 12%.

#2 During the first month, Saturn collected $4,000 on assigned accounts.

#3 The following month Saturn made a payment on the note based on the above accounts receivable collections. Record payment of the note and interest