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BOOK Transferring Accounts Receivable Instructions Chart of Accounts General Joumal Balance Sheet IFRS Instructions White Corporation has entered into an agreement to transfer accounts receivable

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BOOK Transferring Accounts Receivable Instructions Chart of Accounts General Joumal Balance Sheet IFRS Instructions White Corporation has entered into an agreement to transfer accounts receivable lo Murphy Company. Under the terms of this agreement, white receives 30% of the value of all the transferred accounts receivable (to reflect credit risk) and is charged a 1% service charge, which is based upon the dollar amount of transferred receivables Interest is charged at an annual interest rate of 12% of any outstanding loan balance. The transferred receivables we continue to be collected by white with any cash flows being remitted to Murphy at the end of each month White is not allowed to transfer the receivables to anyone else white normally transfers ts accounts receivable. The following selected 2019 transactions relate to this agreement Dec 1 11 Accounts receivable of $200,000 are transferred A sales retum or $1,000 on a transferred account is made Collections are made on $81,000 of the transferred accounts receivable plus interest for the month of December . This amount is remitted to Murphy 31 Required: 1. Assume Mar White uses US GAAP A. Prepare jouma entries on Wnite's books to record me preceding transactions B. How would this agreement de reported on Writes December 31, 2019 balance sheet (assume the note payables short-term)? 2 Assume that White uses IFRS A Prepare journal entries on White's books to record the preceding transactions B. How would this agreement de reported on Writes December 31, 2019, balance sheet (assume the note payable as short-term)? Instruction Chart of Accounts General Journal Balance Sheet IFRS Instructions General Journal wi Assuming White uses US GAAP prepare journal entries on Whites books to record the transactions of tra co NIGE WI GENERAL JOURNAL DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT 10 11 Assuming White uses IFRS, prepare journal entries on White's books to record the tractions RACE GENERAL JOURNAL DATE ACCOUNT TITLE POST. REF, DELIT

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