Salen Ltd. finances some of its current operations by assigning accounts receivable to a finance company. On July 1, 2022, it assigned, under guarantee, specific accounts amounting to ¥150,000,000. The finance company advanced to Salen 80% of the accounts assigned (20% of the total to be withheld until the finance company has made its full recovery), less a finance charge of ½% of the total accounts assigned. On July 31, Salen Ltd. received a statement that the finance company had collected ¥80,000,000 of these accounts and had made an additional charge of ½% of the total accounts outstanding as of July 31. This charge is to be deducted at the time of the first remittance due Salen from the finance company. Make entries at this time. On August 31, 2022, Salen received a second statement from the finance company, together with a check for the amount due. The statement indicated that the finance company had collected an additional ¥50,000,000 and had made a further charge of ½% of the balance outstanding as of August 31.

Instructions

Make all entries on the books of Salen Ltd. that are involved in the transactions above.