According to authoritative accounting literature,the determination of whether a transfer of receivables is a sale or collateralized borrowing hinges on whether the

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The determination of whether a transfer of receivables is a sale or collateralized borrowing hinges on whether the transferor surrenders control over the receivable. If the transferor retains control over the receivables, it is considered collateralized borrowing. If the transferee (buyer) obtains control, it is considered a sale. The transferor's recourse against the transferee (buyer) does not impact the classification. The customer's default is also not relevant to this determination.

According to Authoritative Accounting Literature,the Determination of Whether a Transfer