Landstalker Enterprises sold $750,000 of accounts receivable to Leander Factors, Inc. on a without recourse basis under

Question:

Landstalker Enterprises sold $750,000 of to Leander Factors, Inc. on a without recourse basis under IFRS, as the risks and rewards have been transferred to Leander. The transaction meets the criteria for a sale, and no asset or liability components of the receivables are retained by Landstalker. Leander Factors assesses a finance charge of 4% of the amount of and retains an amount equal to 5% of journal entries for both Landstalker and Leander.
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...