Oriole company's trial balance reflected the following account balances at december 31, 2017: accounts receivable (net) $39000 trading securities 13000 accumulated depreciation on equipment and furniture 31000 cash 34000 inventory 59000 equipment 51000 patent 8500 prepaid expenses 4300 land held for future business site 36500 in oriole’s december 31, 2017 balance sheet, the current assets total is

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.