8-20 I NEED ANSWER NOW PLEASE

Problwm 8-20 Multiple choice (AICPA Adapted) as receivable. a. Bank loan collateralized by the accounts receivable. b. Bank loan to be repaid by the proceeds from the accounts C. Sale of the accounts receivable to the bank, with risk of d. Sale of the accounts receivable to the bank, with the uncollectible accounts retained by the entity. risk of uncollectible accounts transferred to the bank. 2. Which statement is true when accounts receivable are factored without recourse? a. The transaction may be accounted for either as secured borrowing or sale. b. The accounts receivable are used as collateral. c. The factor assumes the risk of collectibility and absorbs any credit losses in collecting the accounts receivable. d. The financing cost should be recognized ratably over the collection period. 3. All but one of the following are required before a transfer of accounts receivable can be recorded as a sale. a. The transferred accounts receivable are beyond the reach of the transferor and the creditors. b. The transferor has not kept effective control through a repurchase agreement. c. The transferor maintains continuing involvement. d. The transferee can pledge the accounts receivable. 4. If financial assets are exchanged for cash but the transfer does not meet the criteria for a sale, the transaction should be accounted for as a. Secured borrowing b. Pledge of collateral c. Both secured borrowing and pledge of collateral d. Neither secured borrowing nor pledge of collateral 250