Whispering Corporation factors $276,900 of accounts receivable with Kathleen Battle Financing, Inc. on a with recourse basis. Kathleen Battle Financing will collect the receivables. The receivables records are transferred to Kathleen Battle Financing on August 15, 2020. Kathleen Battle Financing assesses a finance charge of 2% of the amount of accounts receivable and also reserves an amount equal to 4% of accounts receivable to cover probable adjustments. (b) Assume that the conditions are met for a transfer of receivables with recourse to be accounted for as a sale. Prepare the journal entry on August 15, 2020, for Whispering to record the sale of receivables, assuming the recourse obligation has a fair value of $3,520.

The journal entry is given below.

Explanation:

Journal entry.

Aug.15 2020 Cash A/c Dr $260,286

                      Reserve amount A/c Dr $11,076

                      Loss on sale A/c Dr $9,058

                      To Recourse obligation A/c $3,520

                      To Accounts receivable A/c $276,900

Computation are as follows:

Accounts Receivable = $276,900

Finance charges = $276,900 × 2% = $5,538

Reserve amount = $276,900 × 4% = $11,076

Recourse obligation=$3,520

Loss on sale = Finance charges + Recourse obligation = $9,058

Cash proceeds =  Accounts Receivable  - Finance charges - Reserve amount = $260,286

metallurgy is your answer

the "study of metals and the process of refining ("

note that it says metal. metallurgy has the word "metal" in it, and so is most likely your answer (and is your answer).

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