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Intermediate accounting question regarding time value of money and Cash and accounts receivable Exercise 7-19 (Part Level Submission] Pina Corp. factors $30,000 of accounts receivable

Intermediate accounting question regarding time value of money and Cash and accounts receivable

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Exercise 7-19 (Part Level Submission] Pina Corp. factors $30,000 of accounts receivable with Grouper Finance Corporation on a without recourse basis on Jul'gcr 1, 2017. The receivables records are transferred to Grouper Finance, which will receive the collections. Grouper Finance assesses a nance charge of 1.?0% of the amount of accounts receivable and retains an amount equal to 4% of accounts receivable to cover sales discounts, returns, and allowances. The transaction is to be recorded as a sale. V (a) Prepare the journal entry on Juli,r 1, 201?, for Pina Corp. to record the sale of receivables without recourse. (If no entry is required, seiec't "No Entry\" for the account titles and enter 0 for the amounts. Credit account tities are automa ticaiiy indented when the amount is entered. Do not indent manually.) Date Hanoi-1t TIHE and Explanation Debit Credt July 1, 201? ||

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