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Mountain High Ice Cream Company transferred $63,000 of accounts receivable to the Prudential Bank. The transfer was made
Posted: Wed May 04, 2022 4:39 pm
by answerhappygod
- Mountain High Ice Cream Company Transferred 63 000 Of Accounts Receivable To The Prudential Bank The Transfer Was Made 1 (39.82 KiB) Viewed 41 times
Mountain High Ice Cream Company transferred $63,000 of accounts receivable to the Prudential Bank. The transfer was made without recourse. Prudential remits 90% of the factored amount to Mountain High and retains 10%. When the bank collects the receivables, it will remit to Mountain High the retained amount (which Mountain estimates has a fair value of $5,300) less a 3% fee ( 3% of the total factored amount). Required: Prepare the journal entry to record the transfer on the books of Mountain High assuming that the sale criteria are met. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the transfer of accounts receivable. Note: Enter debits before credits. General Journal Debit Credit Event 1 View neneral Journal Clear entr