Credit Card Sales Prepare journal entries for the following credit card sales transactions (the company uses the perpetual inventory system). 1. Sold $20,000 of merchandise, that cost $15,000, on MasterCard credit cards. The net cash receipts from sales are immediately deposited in the seller's bank account. MasterCard charges a 5% fee. 2. Sold $5,000 of merchandise, that cost $3,000, on an assortment of credit cards. Net cash receipts are received 5 days later, and a 4% fee is charged.
Credit Card Sales Prepare journal entries for the following credit card sales transactions (the company uses the perpetual inventory system). 1. Sold $20,000 of merchandise, that cost $15,000, on MasterCard credit cards. The net cash receipts from sales are immediately deposited in the seller's bank account. MasterCard charges a 5% fee. 2. Sold $5,000 of merchandise, that cost $3,000, on an assortment of credit cards. Net cash receipts are received 5 days later, and a 4% fee is charged.
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter10: Accounting For Sales And Cash Receipts
Section: Chapter Questions
Problem 2CE: Prepare journal entries for the following sales and cash receipts transactions. (a) Merchandise is...
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![Credit Card Sales
Prepare journal entries for the following credit card sales transactions (the
company uses the perpetual inventory system).
1. Sold $20,000 of merchandise, that cost $15,000, on MasterCard credit cards.
The net cash receipts from sales are immediately deposited in the seller's
bank account. MasterCard charges a 5% fee.
2. Sold $5,000 of merchandise, that cost $3,000, on an assortment of credit
cards. Net cash receipts are received 5 days later, and a 4% fee is charged.
1](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F93428baa-a622-44d3-bd47-08a2fc2bc9be%2Fea73ec4f-c82a-4935-963e-02f0a7bb9f1d%2F9icbq4j_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Credit Card Sales
Prepare journal entries for the following credit card sales transactions (the
company uses the perpetual inventory system).
1. Sold $20,000 of merchandise, that cost $15,000, on MasterCard credit cards.
The net cash receipts from sales are immediately deposited in the seller's
bank account. MasterCard charges a 5% fee.
2. Sold $5,000 of merchandise, that cost $3,000, on an assortment of credit
cards. Net cash receipts are received 5 days later, and a 4% fee is charged.
1
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