Jane borrows $100,000 on January 1 from a bank at a 12% interest rate. Jane assigns $140,000 of its accounts receivable as collateral and agreed to pay a financing fee of 2% of accounts receivable assigned. On January 1, Jane’s accounting for this transaction will include: a. Debit to cash for $100,000 b. Debit to cash for $97,200 c. Debit to finance expense of $2,000 d. Debit to finance expense of $1,000
