Assume that the government is currently balancing the national budget so that outlays equal tax revenue. then the economy slips into recession, and the government decides to increase government spending by $50 billion. the government must pay for this by borrowing; it must sell $50 billion worth of treasury bonds. as a result, the federal budget will: choose one: a. be in surplus by $50 billion. b. be in deficit by at least $50 billion. c. remain balanced. d. be in surplus by at least $50 billion. e. be in deficit by less than $50 billion.

Reynolds corp. factors $400,000 of accounts receivable with mateer finance corporation on a without recourse basis on july 1, 2015. the receivables records are transferred to mateer finance, which will receive the collections. mateer finance assesses a finance charge of 1 ½ percent of the amount of accounts receivable and retains an amount equal to 4% of accounts receivable to cover sales discounts, returns, and allowances. the transaction is to be recorded as a sale.required: a. prepare the journal entry on july 1, 2015, for reynolds corp. to record the sale of receivables without recourse.b. prepare the journal entry on july 1, 2015, for mateer finance corporation to record the purchase of receivables without recourse— think through this.c. explain the difference between sale of receivables with recourse as oppose to without recourse.