Priscilla's Exotic Pets discounted a note receivable without recourse and
the sales criteria were met. The discounting is recorded as:
a. A secured borrowing.
b. Only note disclosure of the arrangement is required.
c. A sale.
d. None of these.
这条题目我选择的是C，请大家帮忙指点看对不对呢？谢谢了
t*****g 发帖数: 2941
2
I think it's A.
When goods are sold:
Dr: Note Receivable
Cr: Sales
When Note Receivable is discounted to the bank/collection agency
Dr: Cash
Dr: Financing Cost(=Face amount of Note Receivable-cash received from bank)
Cr: Note Receivable
Any comments are welcomed.
