Question
Jhenyviv factored receivables with a carrying amount of P2M to Darrel Corp on Feb 1, 2021 with a finance charge of 3% of the receivables
Jhenyviv factored receivables with a carrying amount of P2M to Darrel Corp on Feb 1, 2021 with a finance charge of 3% of the receivables while retaining 5%of the receivables. Assuming that the factoring is treated as a sale what amount of loss from the sale should the company report in its 2021 statement of comprehensive income?
A. None
B. P100,000
C. P60,000
D. P160,000
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Financial Accounting
Authors: Michelle Hanlon, Robert Magee, Glenn Pfeiffer, Thomas Dyckman
5th Edition
1618531654, 9781618531650
