Question
On October 31, 2021, Bundle Company engaged in the following transactions: (1) Obtained a P500,000, six-month loan from City Bank, discounted at 12%. The company
On October 31, 2021, Bundle Company engaged in the following transactions: (1) Obtained a P500,000, six-month loan from City Bank, discounted at 12%. The company pledged P500,000 of accounts receivable as security for the loan. What is the total cash received from the financing of receivables?
A. 440,000
B. 470,000
C. 360,000
D. 500,000
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College Accounting A Practical Approach
Authors: Jeffrey Slater, Brian Zwicker
12th Canadian edition
133133230, 978-0133133233
