On November 30, Petrov Company has $150,600 of accounts receivable and uses the perpetual inventory system. December 4 Sold $5,335 of merchandise (that had cost $3,414) to customers on credit, terms n/30. December 9 Sold $21,084 of accounts receivable to Main Bank. Main charges a 4% factoring fee. December 17 Received $2,934 cash from customers in payment on their accounts. December 27 Borrowed $12,048 cash from Main Bank, pledging $15,662 of accounts receivable as security for the loan. (1)

(1) Prepare journal entries to record the above transactions. (2) Which transaction would most likely require a note to the financial statements?