Cullumber Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Blossom Company employees. The total cruise package price to Blossom Company employees is $60,000. Cullumber Inc. receives a commission of 5% of the total price. Cullumber Inc. therefore remits $57,000 to ShipAway. Prepare the journal entry to record (1) the receipt of payment of $60,000 from employees for the cruise packages and (2) the remittance and revenue recognized by Cullumber Inc. on this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) No. Account Titles and Explanation 1. 2. Debit Credit

Cullumber Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Blossom Company employees. The total cruise package price to Blossom Company employees is $60,000. Cullumber Inc. receives a commission of 5% of the total price. Cullumber Inc. therefore remits $57,000 to ShipAway. Prepare the journal entry to record (1) the receipt of payment of $60,000 from employees for the cruise packages and (2) the remittance and revenue recognized by Cullumber Inc. on this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) No. Account Titles and Explanation 1. 2. Debit Credit

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter10: Cash Receipts And Cash Payments

Section: Chapter Questions

Problem 7DQ

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