On April 1, 2014, Prince Company assigns $500,000 of its accounts receivable to the Third National Bank as collateral for a $300,000 loan due July 1, 2014. The assignment agreement calls for Prince Company to continue to collect the receivables. Third National Bank assesses a finance charge of 2% of the accounts receivable, and interest on the loan is 10% per annum (a realistic rate of interest for a note of this type). (a) Prepare the April 1, 2012, journal entry for Prince Company
(b) Prepare the journal entry for Prince
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “On April 1, 2014, Prince Company assigns $500,000 of its accounts receivable to the Third National Bank as collateral for a $300,000 loan ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Describe a situation in which you may experience bypass.
Answers (1)
It costs Camp, Inc. $35 per unit to manufacture 1,000 units per month of a product that it can sell for $50 each. Alternatively, Camp could process the units further into a more complex product, which would cost an additional $30 per unit.
Answers (1)
What is not of the three primary resources that families have to reach financial goal? A. Time B. Money C. Education D. Energy
Answers (1)
Invested Capital Corporation provides other firms with funds to expand operations. If Invested Capital strictly complies with existing laws, the firm's business ethics obligations willa. be entirely met. b. not be met. c. be partially met d.
Answers (1)
Treasury bonds are question 8 options: both a store of value and a medium of exchange. neither a store of value nor a medium of exchange. a store of value, but not a medium of exchange. a medium of exchange, but not a store of value. save
Answers (1)
New Questions in Business
Which of the following statements is consistent with the ideas that W. Edwards Deming promoted regarding quality management? a. Understanding variation is essential to improving quality b.
Answers (1)
In a recent annual report, Fourth Wall Inc. (formerly Greencube) disclosed that 61,700,000 shares of common stock have been authorized.
Answers (1)
This type of evidence can lead to the hasty generalization fallacy Personal Experience Intuition Analogy Research
Answers (1)
Interest rates generally reflect the potential elects of initation the level of risk in an investment the real value of the investment the amount of money invested
Answers (1)
What is a variable expense? A. An expense that is the same during some months, and different during other months. B. An expense that is the same from month to month. C. An expense that is different from month to month. D. None of the above.
Answers (2)