Logitech Corporation transferred $190,000 of accounts receivable to a local bank. The transfer was made without recourse. The local bank remits 90% of the factored amount to Logitech and retains the remaining 10%. When the bank collects the receivables, it will remit to Logitech the retained amount less a fee equal to 3% of the total amount factored. Logitech estimates a fair value of its 10% interest in the receivables of $17,000 (not including the 3% fee).

What is the effect of this transaction on the company�s assets, liabilities, and income before income taxes?