Samson Wholesale Beverage Company regularly factors its accounts recelvable with the Milpitas Finance Company.

On Aprll $30,2024,$ the company transferred $$990,000$ of accounts recelvable to Milpitas. The transfer was made

without recourse. Milpitas remits $90\%$ of the factored amount and retalns $10\%.$ When Milpitas collects the recelvables, It

remits to Samson the retalned amount less a $5\%$ fee $(5\%$ of the total factored amount$).$ Samson estimates the falr value

of the last $10\%$ of Its recelvables to be $$79,000.$

Required:

Prepare the Journal entry for Samson Wholesale Beverage for the transfer of accounts recelvable on April $30,$

assuming the sale criterla are met.

Note: If no entry Is required for a transactlon$/$event$,$ select $"$No journal entry required" In the first account fleld.

Journal entry worksheet

$1$

Record the transfer of accounts receivable on April $30.$

Note: Enter debits before credits.