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AFTER SCHOOL HANG OUT Co. provided the following transactions: 2019 Dec 01 The company assigned P1,000,000 accounts receivable to PNB under a non- notification basis.
AFTER SCHOOL HANG OUT Co. provided the following transactions: 2019 Dec 01 The company assigned P1,000,000 accounts receivable to PNB under a non- notification basis. PNB granted an advance of 80% of the assigned accounts less 3% service charge based on the cash advance. The company signed a promissory note that provides for 2% interest per month on the outstanding loan balance. The assigned customer's accounts are: Customer Amount of Invoice Date of Invoice Terms McDon't Co. 250,000 November 25 2/10, n/30 JollyMe Co. 300,000 November 30 2/10, 1/15, n/30 Mang Inasar Co. 450,000 November 28 In/30 Dec 05 The account of McDon't is collected. Dec 10 Issued a P10,000 credit memo for JollyMe for damaged merchandise Dec 17 The account of JollyMe is collected. Dec 31 The company remitted the accounts receivable collections to PNB to be applied to principal and interest payments Dec 05 The account of McDon't is collected. Dec 10 Issued a P10,000 credit memo for JollyMe for damaged merchandise Dec 17 The account of JollyMe is collected. Dec 31 The company remitted the accounts receivable collections to PNB to be applied to principal and interest payments 2020 Jan 10 The account of Mang Inasar is collected Jan 31 Remitted the amount due to the bank for the final settlement of the loan. REQUIRED (2 points each) 1. How much is the cash received from the assignment of accounts receivable? 2. How much is the loan balance on December 31, 2019? 3. How much is the total payment made to the bank on January 31, 2020 to settle the loan
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