Logitech Corporation transferred $135,000 of accounts receivable to a local bank. The transfer was made without recourse. The local bank remits 85% of the factored amount to Logitech and retains the remaining 15%. When the bank collects the receivables, it will remit to Logitech the retained amount less a fee equal to 2% of the total amount factored. Logitech estimates a fair value of its 15% interest in the receivables of $17,500 (not including the 2% fee). What is the effect of this transaction on the companys assets, liabilities, and income before income taxes?

Assets	(increase or decrease)	(Amount)
Liabilities	(increase or decrease)	(Amount)
Income before income taxes	(increase or decrease)	(Amount)