Samson Wholesale Beverage Company regularly factors its accounts
receivable with the Milpitas Finance Company. On April 30, 2021,
the company transferred $810,000 of accounts receivable to
Milpitas. The transfer was made without recourse. Milpitas remits
90% of the factored amount and retains 10%. When Milpitas collects
the receivables, it remits to Samson the retained amount less a 5%
fee (5% of the total factored amount). Samson estimates the fair
value of the last 10% of its receivables to be $61,000.
Required:
Prepare the journal entry for Samson Wholesale Beverage for the
transfer of accounts receivable on April 30, assuming the sale
criteria are met. (If no entry is required for a
transaction/event, select "No journal entry required" in the first
account field.)
General Journal | Debit | Credit | |
Cash | 729000 | =810000*90% | |
Loss on sale of receivables | 60500 | ||
Receivable from factor | 20500 | =61000-(810000*5%) | |
Accounts receivable | 810000 |
Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April...
Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2018, the company transferred $860,000 of accounts receivable to Milpitas. The transfer was made without recourse. Milpitas remits 90% of the factored amount and retains 10%. When Milpitas collects the receivables, it remits to Samson the retained amount less a 3% fee (3% of the total factored amount). Samson estimates the fair value of the last 10% of its receivables to be $66,000....
Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2021, the company transferred $860,000 of accounts receivable to Milpitas. The transfer was made without recourse. Milpitas remits 90% of the factored amount and retains 10%. When Milpitas collects the receivables, it remits to Samson the retained amount less a 3% fee (3% of the total factored amount). Samson estimates the fair value of the last 10% of its receivables to be $66,000....
Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2021, the company transferred $950,000 of accounts receivable to Milpitas. The transfer was made without recourse. Milpitas remits 90% of the factored amount and retains 10%. When Milpitas collects the receivables, it remits to Samson the retained amount less a 4% fee (4% of the total factored amount). Samson estimates the fair value of the last 10% of its receivables to be $75,000....
P7-8 Factoring of accounts receivable; without recourse • L07-8 Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas pany. On April 30, 2021, the company transferred $800,000 of accounts receivable to Milpitas. The made without recourse. Milpitas remits 90% of the factored amount and retains 10%. When Milpitasse receivables, it remits to Samson the retained amount less a 4% fee (4% of the total factored amount) s estimates the fair value of the last 10% of its...
Samson Wholesale everage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2018, the company transf red $920,0 of accounts receivable to Milpitas. The transfer was made without recourse. Milpitas remits 85% of the factored amount nd retains 1 When Milpitas collects the receivables, it remits to Samson the retained amount less a 2% fee (2% of the total factor amount) mson estimates the fair value of the last 15% of its receivables to be...
Question ห(of 5) 10.00 points Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2016, the company transferred $900,000 of accounts receivable to Milpitas. The transfer was made without recourse Milpitas remits 85% of the tactored amount and retans 15%, when Milpitas collects the recevables. it remits to Samson the retained amount less a 2% fee (2% of the total factored amount). Samson estimates the far value or the last 15% of...
help chapter 7 accounting homework!! jork Saved Help Save & Exit Submi Check my work Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Company. On April 30, 2021, the company transferred $890,000 of accounts receivable to Milpitas. The transfer was made without recourse. Milpitas remits 90% of the factored amount and retains 10%. When Milpitas collects the receivables, it remits to Samson the retained amount less a 4% fee (4% of the total factored amount)....
Please show all calculations (if any) and explain your reasoning. Thank you! P 7-8 Factoring of accounts receivable; without recourse • LO7-8 Samson Wholesale Beverage Company regularly factors its accounts receivable with the Milpitas Finance Com- pany. On April 30, 2021, the company transferred $800,000 of accounts receivable to Milpitas. The transfer was made without recourse. Milpitas remits 90% of the factored amount and retains 10%. When Milpitas collect receivables, it remits to Samson the retained amount less a 4%...
Mountain High Ice Cream Company transferred $75,000 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 $6,500) less a 3%fee (3% of the total factored amount) Required: Prepare the journal entry to record the transfer on the books of Mountain...
Mountain High Ice Cream Company transferred $67,000 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 $5,700) less a 3% fee (3% of the total factored amount) Required: Prepare the journal entry to record the transfer on the books of...