Pharoah Distributors is a growing company whose ability to raise capital has not been growing as quickly as its expanding assets and sales. Pharoah's local banker has indicated that the company cannot increase its borrowing for the foreseeable future. Pharoah's suppliers are demanding payment for goods acquired within 30 days of the invoice date, but Pharoah's customers are slow in paying for their purchases (60-90 days). As a resit, Pharoah has a cash flow problem. Pharoah needs $144,800 to cover next Friday's payroll. Its balance of outstanding accounts receivable totals $775,200. To alleviate this cash crunch, the company sells $162,200 of its receivables. Record the entry that Pharoah would make. (Assume a 2% service charge.) (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)

Pharoah Distributors is a growing company whose ability to raise capital has not been growing as quickly as its expanding assets and sales, Pharoah's local banker has indicated that the company cannot increase its borrowing for the foresceable future. Pharoah's suppliers are demanding payment for goods acquired within 30 days of the invoice date, but Pharoah's customers are slow in paying for their purchases (6090 days). As a restet, Pharoah has a cash flow problem. Pharoah needs $144,800 to cover next Friday's payroll. Its balance of outstanding accounts recelvable totals $775,200, To allevlate this cash crunch, the company sells $162,200 of its receivables. Record the entry that Pharoah would make. (Assume a 2% service charge.) (List all debit entries before credit entries. Credit occount titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter Ofor the amounts) Account Titles and Explanation Debit Credit