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Business, 10.05.2021 19:00 xaviiaquino3378

On February 1, 2020, Waterway Industries factored receivables with a carrying amount of $745000 to Pharoah Company. Pharoah Company assesses a finance charge of 4% of the receivables and retains 6% of the receivables. Relative to this transaction, you are to determine the amount of loss on sale to be reported in the income statement of Waterway Industries for February. Assume that Waterway factors the receivables on a with recourse basis. The recourse obligation has a fair value of $3500. The loss to be reported is g

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On February 1, 2020, Waterway Industries factored receivables with a carrying amount of $745000 to P...
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