Which party bears (indicated by * in the answer alternatives) the cost of bad debts and sales adjustments for assigned accounts receivable? $$\begin{array} { | l | l | l | l | }
\hline &\text { } & \text {bad depts} &\text {sales adjuistments} \
\hline 1&\text { Assignor } & *& * \
\hline 2 &\text { Assignee } & & *\
\hline &\text { Assignor } & & * \
\hline 3& \text { Assignee } & * & \
\hline& \text { Assignor } & *& \
\hline 4 &\text { Assignee } & *\
\hline
\end{array}$$

Question

Which party bears (indicated by * in the answer alternatives) the cost of bad debts and sales adjustments for assigned accounts receivable? $$\begin{array} { | l | l | l | l | } 
\hline  &\text {  } & \text {bad depts} &\text {sales adjuistments} \
\hline 1&\text { Assignor } &  *& * \
\hline 2 &\text {  Assignee } & & *\
\hline &\text { Assignor } & & * \
\hline 3& \text { Assignee } & * & \
\hline& \text { Assignor } & *&  \
\hline 4 &\text { Assignee } & *\
\hline
\end{array}$$

Quizplus · Accepted Answer

In an assignment of accounts receivable, the assignor typically bears the cost of bad debts and sales adjustments, as they are responsible for the quality of the accounts receivable they are assigning.

Which Party Bears (Indicated by * in the Answer Alternatives)