Presented below is information for Splish Company. 1. Beginning-of-the-year Accounts Receivable balance was $ 24,400. 2. Net sales (all on account) for the year were $ 104,900. Splish does not offer cash discounts. 3. Collections on accounts receivable during the year were $ 86,100. Splish is planning to factor some accounts receivable at the end of the year. Accounts totaling $ 12,300 will be transferred to Credit Factors, Inc. with recourse. Credit Factors will retain 7% of the balances for probable adjustments and assesses a finance charge of 6%. The fair value of the recourse obligation is $ 1,108.

Prepare the journal entry to record the sale of the receivables. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)