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Current Attempt in Progress

On October $1,2023,$ Windsor Inc. assigns $$4\mathrm{.}5$ million of its accounts receivable to Alberta Provincial Bank as collateral for a $$4\mathrm{.}2$ million loan evidenced by a note. The bank's charges are as follows: a finance charge of $5\mathrm{.}3\%$ of the assigned receivables and an interest charge of $10\%$ on the loan.

Prepare the October $1$ journal entries for both Windsor Inc. and Alberta Provincial Bank. $($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 $0$ for the amounts. List all debit entries before credit entries.$)$

Date Account Titles and Explanation

Debit

Credit

Windsor Inc.

Oct. $1$ Accounts Receivable

Interest Expense

$238,500$

Finance Expense

Alberta Provincial Bank

Oct. $1$

Accounts Receivable

Interest Receivable