P Warnings appear when half the time, 5 minutes, 1 minute, and 30 seconds remain. Multiple Attempts Not allowed. This test can only be taken once. Force Completion This test can be saved and resumed at any point until time has expired. The timer will continue to run if you leave the test. Your answers are saved automatically. Remaining Time: 1 hour, 58 minutes, 52 seconds. A Question Completion Status: 12 3 4 5 6 7 8 9 10 11 12 A Moving to another question will save this response. Question 5 WEBCAM RECORDING X Question 5 of 12 8 points Save Answer On July 1, Star Company factored $900,000 of accounts receivable with Prett Financing on a without recourse basis. Under the arrangement, Prett Financing was to make the collections, handle the sales discounts, and absorb the credit losses. Prett Financing assessed a finance charge of 5% of the total accounts receivable factored and retained an amount equal to 3% of the total receivables to cover sales discounts Required: a. Prepare the journal entry required on Prett Financing on July 1. b. Assume Star Company factors the $900,000 of accounts receivable with Prett Financing on a with recourse basis. Prepare the journal entry required on Star company's book on July 1. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). B I US Paragraph Arial 10pt + RBC IT X2 X2> < Moving to another question will save this response. Ev x A Ix Tu ? BON 0 WORDS POWERED BY TINY Question 5 of 12>>>