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On May 1, 2020

Accounting

On May 1, 2020. Gut Trading Co factors 5410,000 of its accounts receivable with Red Sea Factorine, ma non guarantee without recourselbsted Sea Factorines finance charpe of the amount of accounts receivable and retains an amount equal to 7% of the accounts receivable for probable adjustments Required Prepare the journal entry to record the transfer of accounts receivables en non pauranted basis by 1. Gulf Trading Co. 2. Red Sea Factor Inc

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