On October 1, 2020, Bramble Company sells (factors) $712000 of receivables to Milago Factors, Inc. Milago assesses a service charge of 3% of the amount of receivables sold. The journal entry to record the sale by Bramble will include a debit of $21360 to Service Charge Expense. O a debit of $733360 to Cash. O a debit of $712000 to Accounts Receivable. O a credit of $733360 to Cash.

On October 1, 2020, Bramble Company sells (factors) $712000 of receivables to Milago Factors, Inc. Milago assesses a service charge of 3% of the amount of receivables sold. The journal entry to record the sale by Bramble will include a debit of $21360 to Service Charge Expense. O a debit of $733360 to Cash. O a debit of $712000 to Accounts Receivable. O a credit of $733360 to Cash.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 11RE: On December 1 of the current year, Jordan Inc. assigns 125,000 of its accounts receivable to...

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