![alexj29227405](/avatars/1664.jpg)
alexj29227405
26.03.2021 •
Business
Exercise 7-2 Accounting for credit card sales LO C1 Levine Company uses the perpetual inventory system. Apr. 8 Sold merchandise for $4,500 (that had cost $3,326) and accepted the customer's Suntrust Bank Card. Suntrust charges a 4% fee. 12 Sold merchandise for $4,600 (that had cost $2,981) and accepted the customer's Continental Card. Continental charges a 2.5% fee. Prepare journal entries to record the above credit card transactions of Levine Company. (Round your answers to the nearest whole dollar amount.)
Solved
Show answers
More tips
- G Goods and services How to choose a washing machine?...
- F Family and Home Is it Worth Knowing the Gender of Your Child Before Birth?...
- H Health and Medicine Mercury Thermometer Danger: What to do when a thermometer breaks?...
- F Food and Cooking How to cook crayfish? Everything you need to know...
- G Goods and services LED-подсветка в LCD-телевизорах: 5 причин, почему она лучше других технологий...
- P Photography and Videography Understanding HDR: How It Works and Why You Need It...
- G Goods and services Which TV is better - LCD or Plasma?...
- S Sport How to Learn to Pull Up on Monkey Bars?...
- L Leisure and Entertainment Scrapbooking: What is it and Why is it Becoming More Popular?...
Answers on questions: Business
- B Business Wes, the store manager, recently had to fire andrea, an employee who graduated from southern college. he felt that andrea was not well trained at her school. so,...
- B Business We know that careers are separated first by cluster, then pathway, then into individual careers. does this kind of organization make sense to you? what are some...
- B Business Jurpreet has worked out the following figures for the loaves he is going to sell He estimates that the new bakery can produce 5,000 loaves a month, with a selling...
- H History What is the thesis in William Howells back of history (man in the beginning) and author’s 3 arguments and specific evidence and details...
- M Mathematics A rectangle has an area of 459 inches is 17 inches wide how long is the rectangle...
- P Physics 1. Small hole is made up of a window shutter of a room, 12.5m and imageof the car outside the room cast onthe opposite if the image is 6.5mhigh and the tree is 32.5cm...
- M Mathematics Which linear inequality is represented by the graph?...
- H Health PLEASEEEE HELP! I m on my last one...please help....
- E English Read the following paragraph and answer the question below. Surfers have learned to deal with the breaking surf by using the push-up technique. First, when approaching...
- M Mathematics One of the vertices of an equilateral triangle is on the vertex of a square and two other vertices are on the not adjacent sides of the same square. Find the side...
Ответ:
See the journal entries below.
Explanation:
We first calculate the following:
Suntrust Credit Card expenses = $4,500 * 4% = $180
Continental Credit Card expenses = $4,600 * 2.5% = $115
The journal entries will therefore look as follows:
Levine Company
Journal Entries
Date General Journal Debit ($) Credit ($)
Apr. 8 Cash (Suntrust Credit Card) 4,320
Credit Card Expense 180
Sales Revenue 4,500
(To record sale of goods using Suntrust Credit Card at 4% fee.)
Cost of Goods Sold 3,326
Merchandise Inventory 3,326
(To record the cost of goods sold.)
Apr. 12 Cash (Continental Credit Card) 4,485
Credit Card Expense 115
Sales Revenue 4,600
(To record sale of goods using Continental credit card at 2.5% fee.)
Cost of Goods Sold 2,981
Merchandise Inventory 2,981
(To record the cost of goods sold.)
Ответ: