On November 1, ABC Inc factored $70,000 of its accounts receivable to a Finance company. The company charged ABC Inc a 10% factor fee and withheld another 10% for returns and allowances & sales discounts.

How do I book the required entries on November 1 for ABC Inc assuming the receivables were factored without recourse?

How do I book the required entries on November 1 for ABC, assuming the receivables were factored with recourse? ABC Inc accepts responsibility for un-collectible accounts estimated at $5,000.