Sales without Recourse What Were You Inking (a tattoo removal company) sells (factors) $400,000 of accounts receivable to Factor, Inc. without recourse. Factor, Inc. remits 90% of the factored amount to What Were You Inking and retains the remaining 10%. When all receivables have been settled, Factor will remit to What Were You Inking the retained amount (which the company estimates has a fair value of $35,000)1 less a 2% fee. The 2% fee is based on the total amount factored. Record the sale from What Were You Inking's perspective: Six days after the sale of receivables to Factor, Inc. one customer files for bankruptcy. They owe $1,000 in AR. Record this from What Were You Inking's perspective Record this from Factor Inc.'s perspective