Problem 8 Problem 8PELADRA Company assigned P500,000 of accounts receivable to PANCHO FinanceCompany as a security for a loan of P420,000. PANCHO charged a 2% commission onthe amount of the loan. The interest rate on the note was 2% a month. During thefirst month, PELADRA collected P110,000 on assigned accounts after deducting P380of discounts. PELADRA accepted returns worth P1,350 and wrote off assigned accountstotaling P3,700. PELADRA remitted the collections on the assigned accounts aspayment for interest and the loan.29. The amount of cash PELADRA received from PANCHO at the time of the transferwas:30. How much is the equity in the assigned accounts receivable as of the end of thefirst month?

Accounts receivables:- Accounts receivables includes the money which is due to a firm on goods and…

Answered: 29. The amount of cash PELADRA received…

29. The amount of cash PELADRA received from PANCHO at the time of the transfer was: 30. How much is the equity in the assigned accounts receivable as of the end of the first month?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter22: Providing And Obtaining Credit

Section: Chapter Questions

Problem 4P: Gifts Galore Inc. borrowed 1.5 million from National City Bank. The loan was made at a simple annual...

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