Current Attempt in Progress

Presented below is information for Kingbird Company.

Beginning$-$of$-$the$-$year Accounts Receivable balance was $$16,100.$

Net sales $($all on account$)$ for the year were $$109,000.$ Kingbird does not offer cash discounts.

Collections on accounts receivable during the year were $$81,000.$

Kingbird is planning to factor some accounts receivable at the end of the year. Accounts totaling $$10,800$ will be transferred to Cre Factors, Inc. with recourse. Credit Factors will retain $5\%$ of the balances for probable adjustments and assesses a finance charge of The fair value of the recourse obligation is $$1,165.$