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I need 1 & 2 Binsford, Inc., sells $175,000 of its accounts receivable ($172,000 net of the allowance for credit losses) to Upshaw Finance with

I need 1 & 2

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Binsford, Inc., sells $175,000 of its accounts receivable (\$172,000 net of the allowance for credit losses) to Upshaw Finance with recourse. Upshaw immediately remits cash equal to 90% of the gross receivable amount and retains the remaining 10% to cover its factoring fee (equal to 4% of the gross amount of factored receivables) and any bad debts under the agreement's recourse provisions. Binsford estimates the fair value of the recourse obligation to be $4,000. Required: 1. Prepare the journal entry Binsford would make to record the factoring. 2. Prepare Binsford's journal entry to record any subsequent cash received from Upshaw Finance if Upshaw collects all of the factored receivables except for $2,500 resulting from a bad debt. Complete this question by entering your answers in the tabs below. Prepare Binsford's journal entry to record any subsequent cash received from Upshaw Finance if Upshaw collects all of the factored receivables except for $2,500 resulting from a bad debt. (If no entry is required for a particular transaction, select "No journal entry required" in the first account field.)

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