Multiple Choice
XYZ Company has decided to factor its accounts receivable in order to get the immediate receipt of cash. The journal entry to record the factoring of the receivables would include:
A) a debit to Accounts Receivable.
B) a credit to Cash.
C) a debit to Financing Expense.
D) a credit to Interest Revenue.
Correct Answer:
Verified
Correct Answer:
Verified
Q45: The following item appeared on a balance
Q46: All investments in marketable securities NOT classified
Q47: The direct write-off method records uncollectible-account expense:<br>A)
Q48: It takes good judgment, which includes ethics,
Q49: Short-term investments:<br>A) are reported after accounts receivable
Q51: The journal entry to record uncollectible-account expense
Q52: Which method does NOT use estimates?<br>A) Direct-write
Q53: Under the allowance method, the entry to
Q54: Under the allowance method:<br>A) the company records
Q55: When evaluating the collectability of accounts receivable:<br>A)