1. XYZ Company sells a group of its receivables without recourse to a factor. The face value of the sold receivables is $250000. XYZ Company had already
recorded an allowance for bad debt against the receivables in the amount of 5%. The factor will charge 21% per annum interest on the receivables and the WAVG
number of days to maturity of the sold receivables is 32 days. The factorAf?cA????1A????1s fee in addition to the interest is 7%. The factor will hold back 6% of the
receivablesAf?cA????1A????1 face value to cover any merchandise returns.
The amount received by XYZ Company on the date of the sale is?