On November 30, Petrov Co. has $128,700 of accounts receivable and uses the perpetual inventory system.

(1) Prepare journal entries to record the following transactions. 

(2) Which transaction would most likely require a note to the financial statements?

Dec. 4 Sold $7,245 of merchandise (that had cost $5,000) to customers on credit, terms n/30.

9. Sold $20,000 of accounts receivable to Main Bank. Main charges a 4% factoring fee.

17. Received $5,859 cash from customers in payment on their accounts.

27. Borrowed $10,000 cash from Main Bank, pledging $12,500 of accounts receivable as security for the loan.