The trial balance before adjustment for Sandhill Company shows the following balances. Dr. Cr. Accounts Receivable Allowance for Doubtful Accounts Sales Revenue $84,000 1.820 $436,500 Using the data above, give the journal entries required to record each of the following cases. (Each situation is independent.) 1. 2. To obtain additional cash, Sandhill factors without recourse $25,800 of accounts receivable with Stills Finance. The finance charge is 11% of the amount factored. To obtain a 1-year loan of $60,800, Sandhill pledges $66,600 of specific receivable accounts to Crosby Financial. The finance charge is 8% of the loan; the cash is received and the accounts turned over to Crosby Financial. The company wants to maintain the Allowance for Doubtful Accounts at 5% of gross accounts receivable. Based on an aging analysis, an allowance of $5,808 should be reported. Assume the allowance has a credit balance of $1,117. 3. 4. (If no entry is required, select "No Entry" for the account titles and enter for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit 1. Cash 22962 Loss on Sale of Receivables 2838 Accounts Receivable 25800 2. Cash 55936 Loss on Sale of Receivables 4864 Accounts Payable 60800 3. Bad Debt Expense 6020 Allowance for Doubtful Accounts 6020 4. Bad Debt Expense 4691 Allowance for Doubtful Accounts 4691