Determine the outstanding loan balance


Response to the following problem:

On December 1 of the current year, Jordan, Inc., assigns $125,000 of its accounts receivable to McLaughlin Company for cash. McLaughlin Company charges a $750 service fee, advances 85% of Jordan's accounts receivable, and charges an annual interest rate of 9% on any outstanding loan balance. Prepare the related journal entries for Jordan, Inc.

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Accounting Basics: Determine the outstanding loan balance
Reference No:- TGS02101092

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