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The controller for Flint Corporation has reached an agreement with Pina Colada Financing Ltd. to sell a large portion of Flint's past- due accounts receivable.

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The controller for Flint Corporation has reached an agreement with Pina Colada Financing Ltd. to sell a large portion of Flint's past- due accounts receivable. Flint agrees to sell $1,860,000 of accounts receivable to Pina Colada with recourse. Flint's controller estimates that the fair value of Flint's liability to pay Pina Colada for uncollectible accounts is $167,000. Pina Colada will charge Flint 7% of the total receivables balance as a financing fee, and will withhold an initial amount of 8%. Calculate the net proceeds and the gain or loss on the disposal of receivables to Pina Colada Financing Ltd. Net proceeds $ Loss - on disposal of receivables $ Prepare the journal entry on the books of Flint Corporation to record the disposal of receivables to Pina Colada Financing Ltd. (Credi account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "N Entry" for the account titles and enter o for the amounts.) Account Titles and Explanation Debit Credit Cash 1581000 Due from Factor 148800 Loss on Disposal of Receivables Accounts Receivable 1860000 Prepare the journal entry on the books of Flint Corporation to record the disposal of receivables to Pina Colada Financing Ltd. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts.) Account Titles and Explanation Debit Credit Cash 1581000 Due from Factor 148800 Loss on Disposal of Receivables Accounts Receivable 1860000 Prepare a schedule of note premium/discount amortization schedule. (Round answers to 0 decimal places, eg. 58,971.) Schedule of Note Discount Amortization Effective Interest Method Date (d- m. yr) Cash Received Interest Income Discount Amortized Carrying Amou 1. Jul 20 1. Jul 21 $ 1. Jul 22 1. Jul 23 1 Jul 24 1 Jul Prepare the journal entries to record the issue of the note on July 1, 2020, and any required accrual entries at the company's year- end on September 30, 2020. Finally prepare the journal entry to record the first cash collection received on July 1, 2021 for Ayayal Corporation. (Round answers to 0 decimal places, e.g. 58,971. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit C o I +

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