View Policies Show Attempt History Current Attempt in Progress Presented below is information for Sarasota Company. 1. 2. Beginning-of-the-year Accounts Receivable balance was $21,400. 3. Net sales (all on account) for the year were $103.800. Sarasota does not offer cash discounts. Collections on accounts receivable during the year were $84,800. Sarasota is planning to factor some accounts receivable at the end of the year. Accounts totaling $12.800 will be transferred to Credit Factors, Inc. with recourse. Credit Factors will retain 6% of the balances for probable adjustments and assesses a finance charge of 5% The fair value of the recourse obligation is $1,101. (a) - Your answer is partially correct. Prepare the journal entry to record the sale of the receivables. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically Indented when the amount is entered. Do not Indent manually)