Information on Flint Corporation, which reports under ASPE, follows:

July 1. Flint Corporation sold to Carla Vista Co. merchandise having a sales price of $9,600, terms 2/10, n/60. Ignore cost of goods sold entry.

July 3. Carla Vista Co. returned defective merchandise having a sales price of $700. The merchandise was not saleable and was scrapped.

July 5. Accounts receivable of $18,900 are factored with Bramble Corp. without recourse at a financing charge of 9%. Cash is received for the proceeds and collections are handled by the finance company.

July 9. Specific accounts receivable of $19,100 (gross) are pledged to Landon Credit Corp. as security for a loan of $11,100 at a finance charge of 3% of the loan amount plus 9% interest on the outstanding balance. Flint will continue to make the collections. All the accounts receivable pledged are past the discount period and were originally subject to a 2% discount.

Dec 29. Carla Vista Co. notifies Flint that it is bankrupt and will be able to pay only 10% of its account. Give the entry to write off the uncollectible balance using the allowance method.

Required. All necessary journal entries on Flint Corporation's books.