FAR3 Flashcards
1
Q
How to record AR pledging
A
Footnote only no JE
2
Q
How to factor AR with Recourse
A
Its only a pledge with foot note only if anyone of the following conditions is missing
1-The factor is free to resell or use the receiva
2-The seller of the redceivable can not be forced to repurchase it back again
3-
Dr.Cash
Dr.Loss
Dr.Due from Factor
Cr.A/R
3
Q
What is a note receivable
A
it a written promise to pay money Face amount + interest
