The trial balance before adjustment for Whispering Company shows the following balances. Using the data above, give the journal entries required to record each of the following cases. (Each situation is independent.) 1. To obtain additional cash, Whispering factors without recourse $20,200 of accounts receivable with Stills Finance. The finance charge is 10% of the amount factored. 2. To obtain a 1-year loan of $55,600, Whispering pledges $74,700 of specificreceivable accounts to Crosby Financial. The finance charge is 9% of the loanc the cash is received and the accounts turned over to Crosby Financial. 3. The company wants to maintain the Allowance for Doubtful Accounts at 7% of gross accounts receivable. 4. Based on an aging analysis, an allowance of $5,447 should be reported. Assume the allowance has a credit balance of $1,118. (If no entry is required, select "No Entry' for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the arnount is ehtered. Do not indent manually.) No. Account Titles and Explanation Debit Credit 1 Canh Loss on Sale of Reneivables Accounts Receivable 2. Cash Interest Expense Notes Payble 3. Bad Debt Experse Allowance far Doubtful Actounts 4. Bad Debr Expeme Alitwance for Doubtfui Accounts
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