The following transactions relate to A Inc. in 2020: Aug 1: Assigned P6,000,000 of accounts receivable to P. Ocampo Bank under a non-notification basis. The bank advanced 75% of the face value of the receivables less a service charge of P2,500. A signed a promissory note agreeing to pay monthly interest of 1% of the unpaid balance of the loan. Aug. 4: Issued a P60,000 credit memo for sales allowance granted to a customer whose account was assigned Aug 9. : Collected 50% of the face value of the assigned accounts. Sales discounts of 3% were granted to 60% of the face value of the collected accounts Aug. 20: Remitted the collection to P. Ocampo along with the monthly Aug. interest. The payment of the monthly interest was paid first out of the collection of assigned accounts receivable. What is the equity on the assigned accounts, as of August 31, 2020?
The following transactions relate to A Inc. in 2020:
Aug 1: Assigned P6,000,000 of
Aug. 4: Issued a P60,000 credit memo for sales allowance granted to a customer whose account was assigned
Aug 9. : Collected 50% of the face value of the assigned accounts. Sales discounts of 3% were granted to 60% of the face value of the collected accounts
Aug. 20: Remitted the collection to P. Ocampo along with the monthly Aug. interest. The payment of the monthly interest was paid first out of the collection of assigned accounts receivable.
What is the equity on the assigned accounts, as of August 31, 2020?
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