Multiple Choice
Use the following information for questions
Henry Co.assigned $400,000 of accounts receivable to Easy Finance Co.as security for a loan of $335,000.Easy charged a 2% commission on the amount of the loan; the interest rate on the note was 10%.During the first month, Henry collected $110,000 on assigned accounts after deducting $380 of discounts.Henry accepted returns worth $1,350 and wrote off assigned accounts totaling $2,980.
-The amount of cash Henry received from Easy at the time of the transfer was
A) $301,500.
B) $327,000.
C) $328,300.
D) $335,000.
Correct Answer:
Verified
Correct Answer:
Verified
Q1: The accounts receivable turnover ratio is computed
Q37: For the year ended December 31,
Q41: During the year, Jantz Company made an
Q43: At the beginning of 2006, Finney Company
Q44: Simpson Company has the following account
Q45: Which of the following should be recorded
Q109: Bank overdrafts, if material, should be<br>A) reported
Q126: All claims held against customers and others
Q165: Trade discounts are used to avoid frequent
Q167: Companies record and report long-term notes receivable