In the Highwood question, since all the receivables have been "sold" to EasyFinance and EasyFinance is collecting money from the receivables,how will the balance of receivables be credited in Highwood?
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Factoring
By the entry:
Dr Bank $8.7
Dr Administrative expenses $1.3
Cr Receivables $10
OK?
Isn't this the wrong actual entry made by Highwood which should have been reversed by :
Dr Receivables 10
Cr Adm 1.3
Dr Loan a/c 8.7 ?
Isn't this the wrong actual entry made by Highwood which should have been reversed by :
Dr Receivables 10
Cr Adm 1.3
Dr Loan a/c 8.7 ?
Isn't this the wrong actual entry made by Highwood which should have been reversed by:
Dr Receivables $10
Cr Admin $1.3
Cr Loan a/c $8.7 ?
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