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Please help with the ones that have red boxes around them. Thank you Your answer is partially correct. Presented below is information related to Shamrock
Please help with the ones that have red boxes around them. Thank you
Your answer is partially correct. Presented below is information related to Shamrock Corp. August 1 5 9 Shamrock Corp. sold to Sharper Co.merchandise having a sales price of $ 19.900 with terms 1/10, net/60. Shamrock records its sales and receivables net. Accounts receivable of $ 53,100 (gross) are factored with Easy Credit Corp.with recourse at a financing charge of 5%. Cash is received for the proceeds: collections are handled by the finance company. (These accounts were all past the discount period.) Specific accounts receivable of $ 32,900 (gross) are pledged to Second Credit Corp. as security for a loan of $ 19.100 at a finance charge of 6% of the amount of the loan. The finance company will make the collections. All the accounts receivable are past the discount period.) Sharper Co. notifies Shamrock that it is bankrupt and will pay only 18% of its account. Give the entry to write off the uncollectible balance using the allowance method. (Note:Firstrecord the increase in the receivable when the discount period passed.) Sep 29 Prepare all necessary entries in general journal form for Shamrock Corp. (If no entry is required, select "No Entry for the account titles and enter for the amounts Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem) Date Account Titles and Explanation Debit Credit 8/1 Accounts Receivable 19701 Sales Revenue 19701 8/5 Cash 50445 Loss on Sale of Receivables 2655 To record discount forfeited 8/9 Cash Interest Expen Notes Payable To record receipt 8/9 Step by Step Solution
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