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Question 17 Not yet answered Marked out of 1.00 Flag question On February 1, 2019, Henson Company factored receivables with a carrying amount of
Question 17 Not yet answered Marked out of 1.00 Flag question On February 1, 2019, Henson Company factored receivables with a carrying amount of $300,000 to Agee Company. Agee Company assesses a finance charge of 3% of the receivables and retains 5% of the receivables. Relative to this transaction, you are to determine the amount of loss on sale to be reported in the income statement of Henson Company for February. Assume that Henson factors the receivables on a with guarantee (recourse) basis. What is the amount of recourse liability to be recorded on February? Select one: a. $291,000. b. None of the answers is correct. c. $300,000. O d. $9,000. e. $276,000. O f. $285,000.
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