E7-16 (transfer of receivables with recourse) beyoncé corporation factors $175,000 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, 2014.
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.
instructions
(a) what conditions must be met for a transfer of receivables with recourse to be accounted for as a
sale?
(b) assume the conditions from part (a) are met. prepare the journal entry on august 15, 2014, for
beyoncé to record the sale of receivables, assuming the recourse obligation has a fair value of $2,000.

Which of the following is a primary concern of top managers? a)supervising nonmanagerial employees b)deciding which goods a company should produce c)supervising first-line managers d)developing and fine-tuning employee skills e)training, motivating, and rewarding salespeople.

(a) what was the opportunity cost of non-gm food for many buyers before 2008? (b) why did they prefer the alternative? (c) what was the opportunity cost in 2008? (d) why did it change?

You receive a memo from the vice president of procurement responding to your query. he writes: “it will be very important to maintain product continuity. we have a large base of devoted customers. we want to make sure that the quality and key characteristics of island knight stay the same through this transition. talk to frank, our consulting professional perfumer, for more information about the cologne. seasonal variations in costs are the single most significant factor in our deciding to go with another supplier, so finding a way to limit that should be the top priority. the overall marginal costs and shipping costs are probably somewhat less significant. you may want to talk to cindy, the product manager for island knight, regarding pricing information about the product.” what is the best action to take next?