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Problem 8,9,10,12,12. 8. Mindel Inc. factored, with recourse, $175,000 of accounts receivable with Lewis Financing. The finance charge is 3%, and 5.5% was retained to
Problem 8,9,10,12,12. 8. Mindel Inc. factored, with recourse, $175,000 of accounts receivable with Lewis Financing. The finance charge is 3%, and 5.5% was retained to cover sales discounts, sales returns, and sales allowances. Mindel estimates the recourse obligation at $2,400. What amount should Mindel report as a loss on sale of receivables? 9. Soothie Inc. factors $1,800,000 of its accounts receivables with Ripoff Finance on a without recourse basis for a finance charge of 4%. The finance company retains an amount equal to 6% of the accounts receivable for possible adjustments. Prepare the journal entry required on Soothie's books. 10. Given the above information, prepare the journal entry for Ripoff Finance's books. 11. Soothie Inc. factors $1,800,000 of its accounts receivables with Ripoff Finance on a with recourse basis for a finance charge of 3.5%. The finance company retains an amount equal to 6% of the accounts receivable for possible adjustments. The fair value of the recourse liability is estimated at $325,000. Prepare the journal entry required on Soothie's books. 12. Before year-end adjusting entries, Kindred Inc.'s account balances at December 31, 2019, for accounts receivable and the related allowance for uncollectible accounts were $587,000 and $22,000, respectively. An aging of accounts receivable indicated that $37,230 of the December 31 receivables are expected to be uncollectible. What is the net realizable value of accounts receivable after adjustment is made
Problem 8,9,10,12,12.
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