The Oriole Company factors $3,250,000 of its non-recourse accounts receivable for a 3% finance charge. The financial company retains an amount equivalent to 7% of the accounts receivable for possible adjustments. Oriole estimates the fair value of the recourse liability at $330,000. 

What would be the debit to Cash in the journal entry to record this transaction?

Answer rating: 100% (QA)

To record the factoring of nonrecourse accounts receivable with a finance charge and a ... View the full answer