Question: Problem III (10 points) Estimated time to complete 10 minutes On March 1, 2018, the Santa Teresa Glass Company borrowed $600,000 from Finance Bank and

Problem III (10 points) Estimated time to complete 10 minutes On

Problem III (10 points) Estimated time to complete 10 minutes On March 1, 2018, the Santa Teresa Glass Company borrowed $600,000 from Finance Bank and signed a promissory note. Interest at 8% is payable monthly. The company assigned $800,000 of its receivable as collateral for the loan. Finance Bank charges a finance fee equal to 2.0% of the accounts receivable assigned. On March 31, 2018 Santa Teresa Glass Company collected $500,000. Required Prepare the general journal entry required on March 1, 2018 1. Prepare the entries at March 31, 2018 to reflect money collected and remitted to Finance Bank. 2

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