Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

can you help me figure out the correct answers? 0/0.5 pts Question 9 On August 1, Sparky assigned $100,000 of the accounts receivable to B

can you help me figure out the correct answers?

image text in transcribed

0/0.5 pts Question 9 On August 1, Sparky assigned $100,000 of the accounts receivable to B Bank and received 90% of the value of the accounts assigned less a finance fee of $1,000. B Bank charges 1% per month on the outstanding loan balance. Cash collections from assigned accounts are to be remitted monthly to B Bank to cover both principal and interest payments. During August Sparky collected $30,000 in cash of the accounts receivable assigned and also accepted sales returns of $3,000 from assigned accounts. During September, Sparky collected $50,000 in cash on accounts assigned and, in addition, wrote off $2,000 of assigned accounts receivable as uncollectible. As a result of these transactions, determine the ending balance in the Accounts Receivable Assigned and Note Payable. Accounts Receivable Assigned $20,000; Note Payable $10,000 Accounts Receivable Assigned $15,000; Note Payable $11,509 Accounts Receivable Assigned $15,000; Note Payable $10,000 Accounts Receivable Assigned $20,000; Note Payable $11,800

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Your Income Tax 2024

Authors: J.K. Lasser Institute

2024 Edition

1394223528, 978-1394223527

More Books

Students also viewed these Accounting questions

Question

9. True or False: Larger MPCs imply larger multipliers. LO30.5

Answered: 1 week ago