Ayayai Corp. factors $630,000 of accounts receivable with Kingbird, Inc., Inc. on a with recourse basis....

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Ayayai Corp. factors $630,000 of accounts receivable with Kingbird, Inc., Inc. on a with recourse basis. Kingbird, Inc. will collect the receivables. The receivable records are transferred to Kingbird, Inc. on August 15, 2023. Kingbird, Inc. assesses a finance charge of 3.0% of the amount of accounts receivable and also reserves an amount equal to 5.40% of accounts receivable to cover probable adjustments. Ayayai prepares financial statements under ASPE. Assume the conditions for to be recorded as a sale are met. Prepare the journal entry on August 15, 2023, for Ayayai to record the sale of receivables, assuming the recourse obligation has a fair value of $5,900. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Account Titles and Explanation Debit Credit Ayayai Corp. factors $630,000 of accounts receivable with Kingbird, Inc., Inc. on a with recourse basis. Kingbird, Inc. will collect the receivables. The receivable records are transferred to Kingbird, Inc. on August 15, 2023. Kingbird, Inc. assesses a finance charge of 3.0% of the amount of accounts receivable and also reserves an amount equal to 5.40% of accounts receivable to cover probable adjustments. Ayayai prepares financial statements under ASPE. Assume the conditions for to be recorded as a sale are met. Prepare the journal entry on August 15, 2023, for Ayayai to record the sale of receivables, assuming the recourse obligation has a fair value of $5,900. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Account Titles and Explanation Debit Credit