Presented below is information for Lyndon Company. The Accounts Receivable balance at the beginning of the year is $15,000 and the ending balance is $40,000. 1. Sales (all are sales on account) for the year were $120,000. Lyndon does not offer cash discounts (i.e. 2/10, 3/15 etc). 2. Record the collections on accounts receivable during the year. (YOU MUST show your CALCULATIONS to receive credit for the journal entry). 3. Lyndon is planning to factor some accounts receivable at the end of the year. Accounts totaling $25,000 will be transferred to Credit Factors, Inc. WITH RECOURSE. Credit Factors will retain 5% of the balances for probable adjustments and assesses a finance charge of 4%. The fair value of the recourse obligation is $1,200.7