on-sale Transfers of Receivables B. - If the conditio physically transferred to the lender. tions for a sale are not met then the transaction must be treated as a secured The receivables remain on the books of the transferor, even if the accounts are XHIBIT 7-7: ASSIGNMENT OF ACCOUNTS RECEIVABLE On January 1, 2811, Turnabuck Corporation assigned $100,800 of accounts receivable to The Fixit Finance Company in exchange for a loan equaling 9e percent of the accounts assigned. A two percent loan origination fee was charged on the transaction. The terms of the agreement call for two percent per month to be charged on the beginning-of-month loan balance. The accounts were transferred and customers were notified to make remittance directly to Fixit Finance. At the end of each month, Fixit notified Turnabuck of the following customer remittances: Month Collections January February March $40,000 45,808 10,80e 595, 88 Balances outstanding after March are deemed uncollectible. Record the following 2011 dated entries for Turnabuck: January 1: January 31