Journal entry worksheet Record the transfer $650,000 of specific receivables to the bank without recourse. The bank will charge a 2% factoring fee on the amount of receivables transferred. Note: Enter debits before credits. Journal entry worksheet Record the borrowing $600,000, sign a note payable, and assign the entire receivable balance as collateral. Note: Enter debits before credits. Journal entry worksheet Record the month-end remittance to the bank as the amount of receivables collected plus 8% interest on the unpaid balance of the note at the beginning of the period. Note: Enter debits before credits. Journal entry worksheet Record the collection of receivables, assuming that 80% of all June 30 receivables are collected on July 31 . Note: Enter debits before credits. Lonergan Company occasionally uses its accounts receivable to obtain immediate cash. At the end of June, 2024, the company had accounts receivable of $980,000. Lonergan needs approximately $600,000 to capitalize on a unique investment opportunity. On July 1, 2024, a local bank offers Lonergan the following two alternatives: a. Borrow $600,000, sign a promissory note, and assign the entire receivable balance as collateral. At the end of each month, a remittance will be made to the bank that equals the amount of receivables collected plus 8% interest on the unpaid balance of the note at the beginning of the period. b. Transfer $650,000 of specific receivables to the bank without recourse. The bank will charge a 2% factoring fee on the amount of receivables transferred. The bank will collect the receivables directly from customers. The sale criteria are met. Required: 1. Prepare the journal entries that would be recorded on July 1 for: a. alternative a, b. alternative b. 2. Assuming that 80% of all June 30 receivables are collected during July, prepare the necessary journal entries to record the collection and the remittance to the bank for: a. alternative a. b. alternative b. Complete this question by entering your answers in the tabs below. Journal entry worksheet Record the collection of receivables, assuming that 80% of all June 30 receivables are collected on July 31 . The bank will collect the transferred receivables directly. Note: Enter debits before credits