Lincraft Corp. reports a current ratio of 3-to-1 in its 202 financial statements....
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Accounting
Lincraft Corp. reports a current ratio of to in its financial statements. The statement of financial position shows current assets of $ and current liabilities of $ Lincraft has accounts recelvable of $ The company transfers $ of these accounts recelvable to a financial institution. There are $ of bad debts associated with these accounts receivable, an amount that is already in the allowance for doubtful accounts. Proceeds of $ are recelved from the transfer. The transfer is on a nonnotification basis, which means that the customers pay Lincraft and Lincraft then remit the cash to the financial institution. The customers pay $ to Lincraft on schedule, $ is written off to the allowance at the appropriate time, and the cash remittance is forwarded to the financial institution.
Required:
Record all journal entries for the sequence of events assuming:
a The transfer is recorded as a borrowing.
i fill the table,but it says that the table is wrong. can explain why the table is wrong
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