Jeff Retailers accepted $75,000 of Citibank Visa credit card charges for merchandise sold on July 1. Citibank charges 2% for its credit card use. The entry to record this transaction by Jeff Retailers will include a credit to Sales Revenue of $75,000 and a debit(s) to Accounts Receivable $73,500 and Service Charge Expense $1,500. Accounts Receivable $75,000. Cash $73,500 and Service Charge Expense $1,50. Cash $73,500 and Interest Expense $1,500.
Q: Kaden Co. sells merchandise on credit to Jase Co. for $9,600. The invoice is dated July 15 with…
A: Discount: It refers to a percentage that is deducted from the normal selling price of a product.
Q: On January 15, Nifty Company sells merchandise on account to Martinez Associates for $5,000 with…
A: COncept - The term 3/10, n/30 Indicates that, If the payment is made within 10days then the…
Q: On June 1, Meadow Company sold merchandise with a list price of $40,000. For each of the sales terms…
A:
Q: Colaw Stores accepts both its own and national credit cards. During the year, the following selected…
A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS Debit Credit Jan.15 Accounts Receivable…
Q: On September 1, Jerry’s Lighting purchased merchandise with a list price of $6,700 with credit terms…
A: Lets understand the basics. For attracting early cash receipt, seller generally offer discount term…
Q: Abbey Co. sold merchandise to Gomez Co. on account, $10,400, terms 2/15, net 30. The cost of the…
A: Gross profit: It implies to the profit that is earned by the business after subtracting it's direct…
Q: Rolfes Company purchased merchandise on account from Springhill Company for $6,300, terms 1/10o,…
A: Payment due=Purchase-Purchase return=$6,300-$1,600=$4,700
Q: hat is the amount of the refund owed to the customer? (b) Journalize the entries made by the seller…
A:
Q: On June 1, 2018, JULLIES, Inc. sold merchandise with a list price of ₱40,000 to JELLY Corp. on…
A: Net purchase price = List price - trade discount = ₱40,000 - ₱40,000*(1-0.30)*(1-0.20) = ₱17,600
Q: On June 1, Compassion Company sold merchandise with a list price of P 1,000,000 to a customer. The…
A: Trade discount:- A trade discount is referred as the discount amount through which the manufacturer…
Q: Mayfair Co. allows select customers to make purchases on credit. Its other customers can use either…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: On June 1, Forest Company sold merchandise with a list price of $29,000. For each of the sales terms…
A: Credit terms at the time of purchase of products are the payment terms specified on the invoice. It…
Q: On July 9, Bonita Company sells goods on credit to Sandhill Company for $4500, terms 2/10, n/60.…
A: Sales Discounts = Sales value x discount rate = $4500 x 2% = $90
Q: Merchandise with a sales price of $1,100 is sold on account with terms 2/10, n/30. The journal entry…
A: 2/10, n/30 indicates that a discount of 2% will be given if payment is received within 10 days and…
Q: Larson Company on July 15 sells merchandise on account to Stuart Company for $1,000 credit terms of…
A: Cash receivable from Larson Company on July 24 = $1,000 - $400 = $600
Q: On June 1, Compassion Company sold merchandise with a list price of P1,000,000 to a customer. The…
A: A trade discount is offered to the customer to encourage him to purchase the products in bulk…
Q: CPA Co. factored accounts receivable of P2,500,000 with credit terms of 3/10, n/30 immediately after…
A: Cash is an asset which is used as consideration for exchange of goods and services. It is treated as…
Q: On June 1, Compassion Company sold merchandise with a list price of P1,000,000 to a customer. The…
A: The shipping charges are to be paid by the buyer for FOB shipping sale .
Q: uly 12 Sold merchandise to Customer R, who charged the $3,400 purchase on his Visa credit card. Visa…
A: Explanation: The Terms 3/10, n/30 mean if the payment is made within 10 days, a 3 % discount will be…
Q: Thinkwell Enterprises Co pays the amount of $ 200,000 of merchandise owed to Al Bhaja Trading…
A: Discount on payment = amount payable x discount rate = 200000 x 3% = $6000
Q: What is the entry on Kiner's books to record the payment of the invoice within the discount period?
A: In the normal course of business, Business Entities allow credit to their customers on some terms…
Q: Merchandise subject to the credit terms 2/10, n/30, FOB shipping point, is sold to a customer on…
A: Credit terms 2/10 means 2% discount will be given if payment is made with in 10 days
Q: The following are credit purchase transactions of Geuel Enterprises for the month of July: Geuel…
A: In the context of the given question, we are required to prepare the journal entries. Journal…
Q: Barans Company purchased merchandise on account from a supplier for $9,200, terms 1/10, n/30. Barans…
A: 1/10 net 30 means 1% discount will be there if payment is made with in 10 days and no discount after…
Q: Assume that Sohar pipers Cores LLC sold OMR 20000 pipes to the retailer with the credit terms of…
A: The transactions of the company will be recorded first in the company's books which is called as…
Q: Omani Marble Company LLC sells (on credit) OMR 15000 Marble to a retailer with credit terms of 3/10,…
A: Credit terms includes terms and conditions related to credit transactions between the seller and…
Q: Hoffman Company purchased merchandise on account from a supplier for $65,000, terms 1/10, n/30.…
A: Purchase: Purchase is an activity of acquiring the merchandise inventory of a business.
Q: A company factored $45,000 of its accounts receivable and was charged a 4% factoring fee. The…
A: Cash received from factors = Accounts receivable transferred - factoring fees where, Factoring fees…
Q: Merchandise with a sales price of $3,000 is sold on account with terms 2/10, n/30. The journal entry…
A: Journal entries refer to the recording of transaction in an appropriate way. With the help of…
Q: Barans Company purchased merchandise on account from Springhill Company for $12,800, terms 2/10,…
A: Amount due after merchandise return = $12,800 - $3,200 = $9,600
Q: Sheffield's Book Warehouse distributes hardcover books to retail stores and extends credit terms of…
A: Journal entry is the primary step to record transaction in the books of account. The debit and…
Q: On July 1, 2020, Suzan Corp. sells electronic merchandise on account to Sam Inc. for $45,000, terms…
A: The account receivables are referred to as the amount that a business has to collect from its…
Q: The following transactions were selected from among those completed by Bennett Retailers in November…
A: In the above table, the net sales for the month of november and december has been calculated by…
Q: On November 10 of the current year, Flores Mills sold carpet to a customer for $8,800 with credit…
A: Accounting's goals include keeping a systematic record of all financial transactions in a book of…
Q: Mayfair Co. allows select customers to make purchases on credit. Its other customers can use either…
A: Date Particulars Amount Credit Card Rate Credit Card Charges 05-Jun Sales $ 6,800…
Q: Piedmont Company purchased merchandise on account from a supplier for $30000, terms 1/10, n/30.…
A: Given, Purchases = $30,000 Purchase returns = $8,000 Cash discount = 1%
Q: Newland Retailers accepted $75,000 of Citibank Visa credit card charges for merchandise sold on July…
A: Solution: The accounting entry will be as follows: Date Particulars Debit ($) Credit ($) Cash…
Q: On November 10 of the current year, Flores Mills sold carpet to a customer for $8,900 with credit…
A: Formula: Cash discount amount = Sales amount x discount rate
Q: On May 1, RVQ Company sold goods for P6,000 on terms of 2/10, 1/15, n/30. Customer made a partial…
A: Introduction: Credit sales: Goods are sold on credit base to the customers called as Credit sales.…
Q: Griffin Shoe Company records Sales Returns and Allowances, Sales Discounts, and Credit Card…
A: To Complete the given table following formulas are used:Net sales - Cost of Goods Sold = Gross…
Q: On March 31, 2021, Jana Company sold $50,000 merchandise to one of her customers using a credit…
A: Here we assume this is not immediate payment from credit card bankers. Journal entry for credit…
Q: n June 12, Music, Incorporated sells $4,000 of goods on account to a credit customer with credit…
A: Journal entries are the foremost reporting of the business transactions in the entity's account…
Q: The Company allows customers to pay with credit cards. The credit card company charges the Company…
A: Cash received = Sales - Credit card charges where, Credit card charges = Sales x Credit card charges…
Q: Riverbed Retailers accepted $ 31500 of Silver Bank MasterCard credit card charges for merchandise…
A: Here in this question, we are required to determine which heads are needs to debt for recording…
Q: Blossom’s Book Warehouse distributes hardcover books to retail stores and extends credit terms of…
A: Journal: Recording of a business transactions in a chronological order.
Q: merchandise with an invoice amount of $2,800 and received full credit. a. If Nieman Company pays…
A: In the given question, Springhill Company purchased goods worth $ 12,100 and returned goods worth $…
Q: Record the sale by Balus Company of $136,000 in accounts receivable on May 1. Balus is charged a…
A: given that, sale of accounts receivables. accounts receivable = $136000 Factoring fee = 3%
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- C. R. McIntyre Company sells candy wholesale, primarily to vending machine operators. Terms of sales on account are 2/10, n/30, FOB shipping point. The following transactions involving cash receipts and sales of merchandise took place in May of this year: May 2Received 411.60 cash from N. Rojas in payment of April 23 invoice of 420, less cash discount. 5Received 2,085 cash in payment of 2,000 note receivable and interest of 85. 8Sold merchandise on account to G. Soto, invoice no. 862, 830. 9Received 11,838.40 cash from D. Maddox in payment of April 30 invoice of 12,080, less cash discount. 15Received cash from G. Soto in payment of invoice no. 862, less cash discount. 16Cash sales for first half of May, 3,259. 19Received 296 cash from R. O. Higgins in payment of April 14 invoice, no discount. 22Sold merchandise on account to N. T. Jennings, invoice no. 863, 753. 25Received 239 cash refund for return of defective equipment bought in April for cash. 28Sold merchandise on account to M. E. Mueller, invoice no. 864, 964. 31Cash sales for second half of May, 4,728. Required 1. Journalize the transactions for May in the cash receipts journal and the sales journal. Assume the periodic inventory method is used. 2. If you are using Working Papers, total and rule the journals. Prove the equality of the debit and credit totals.American Signs allows customers to pay with their Jones credit card and cash. Jones charges American Signs a 3.5% service fee for each credit sale using its card. Credit sales for the month of June total $328,430, where 40% of those sales were made using the Jones credit card. Based on this information, what will be the total in Credit Card Expense at the end of June?20 Omani Marble Company LLC sells (on credit) OMR 15000 Marble to a retailer with credit terms of 3/10, n/30. If OMR 9,000 of the account receivable is collected from the customer within the ten-days discount period, identify the journal entry from the following. a. Dr Accounts receivables OMR 9000 and Cr Cash OMR 8730 Cr sales discount OMR 270 b. Dr Cash OMR 8730 Dr sales discount OMR 270 and Cr Accounts receivables OMR 9000 c. Dr Cash OMR 9000 and Cr Accounts receivables OMR 9000 d. Dr Cash OMR 15000 and Cr Accounts receivables OMR 15000 Clear my choice
- Question 21 Listen. Siddiqui, Inc. made sales of $556 on Visa credit cards. The credit card service charge is 4%. When the transaction is recorded, what is the amount should be debited to Service Charge Expense? Round your answer to the nearest whole number. Your Answer: Answer Question 22 Listen On January 15 JMiller Enterprises sold $490,000 of merchandise to KCranford Company on account, terms 2/10, n/30. The cost of the merchandise sold was $100,000. When making the journal entry to record this transaction, how much should KCranford Company credit Accounts Payable for? Your Answer: AnswerK The credit card with the transactions described on the right uses the average daily balance method to calculate interest. The monthly interest rate is 2.5% of the average daily balance. Calculate parts a-d using the statement on the right. Transaction Description Previous balance, $6220.00 March 1 Billing date March 5 Payment March 7 Charge: Restaurant March 12 Charge: Groceries $350.00 credit $60.00 $90.00 March 21 Charge: Car Repairs $240.00 March 31 End of billing period Payment Due Date: April 9 Transaction Amount ... a. Find the average daily balance for the billing period. Round to the nearest cent. The average daily balance for the billing period is $ (Round to the nearest cent as needed.) c. Find the balance due on April 1. The balance due on April 1 is $ (Use the answer from part b to find this answer.) b. Find the interest to be paid or April 1, the next billing date. Round to the nearest cent. The interest to be paid on April 1 is $ (Use the answer from part a to find this…Newland Retailers accepted $75,000 of Citibank Visa credit card charges for merchandise sold on July 1. Citibank charges 4% for its credit card use. The entry to record this transaction by Newland Retailers will include a credit to Sales of $75,000 and a debit(s) to Question 16 options: A) Accounts Receivable $75,000 B) Cash $72,000 and Service Charge Expense $3,000 C) Cash $72,000 and Interest Expense $3,000 D) Accounts Receivable $72,000 and Service Charge Expense $3,000
- Required information $3054 Knowledge Check 01 Messing Company has an agreement with a third-party credit card company, which calls for cash to be received immediately upon deposit of customers' credit card sales receipts. The credit card company receives 3.5 percent of card sales as its fee. Messing has $4,000 in credit card sales on January 1. Prepare the January 1 journal entry for Messing Company by selecting the account names from the drop-down menus and entering the dollar amounts in the debit or credit columns. View transaction list Journal entry worksheet D11 OPurchases Transactions Xanadu Company purchased merchandise on account from Springhill Company for $7,900, terms 2/10, n/30. Xanadu returned merchandise with an invoice amount of $2,000 and received full credit. a. If Xanadu Company pays the invoice within the discount period, what is the amount of cash required for the payment? If required, round the answer to the nearest dollar.$fill in the blank 1 b. What account is debited by Xanadu Company to record the return?Riverbed Retailers accepted $ 31500 of Silver Bank MasterCard credit card charges for merchandise sold on August 1. Silver Bank charges 6% for its credit card use. The entry to record this transaction by Riverbed Retailers will include a credit to Sales Revenue of $31500 and a debit(s) to Cash for $ 31500. Accounts receivable for $ 29610 and Service Charge Expense for $ 5820. Cash for $ 29610 and Service Charge Expense for $ 1890. Accounts Receivable for $ 31500.
- nd K The following transactions were selected from among those completed by Bennett Retailers in November and December: Sold 20 items of merchandise to Customer B at an invoice price of $5,500 (total); terms 3/10, n/30. Sold two items of merchandise to Customer C, who charged the $400 (total) sales price on her Visa credit card. Visa charges Bennett Retailers a 2 percent credit card fee. Sold 10 identical items of merchandise to Customer D at an invoice price of $9,000 (total); terms 3/10, n/30. November 29 Customer D returned one of the items purchased on the 28th; the item was defective and credit was given to the customer. December 6. Customer D paid the account balance in full. December 201 Customer B paid in full for the invoice of November 20. November 201 November 25 November 28 Required: Assume that Sales Returns and Allowances, Sales Discounts, and Credit Card Discounts are treated as contra-revenues; compute net sales for the two months ended December 31. Note: Do not round…QS 9-1 (Algo) Credit card sales LO C1 Prepare journal entries for the following credit card sales transactions (the company uses the perpetual inventory system). Sold $21,000 of merchandise, which cost $15,800, on Mastercard credit cards. Mastercard charges a 5% fee. Sold $5,100 of merchandise, which cost $3,050, on an assortment of bank credit cards. These cards charge a 4% fee.QUESTION 12 A credit card statement shows the following activity Compute the finance charge if 1.5% is charged on the average daily balance. 6/10/2014 Billing Date $157.35 6/20/2014 Payment 6/25/2014 Purchase $ (45.00) $ 52.20 7/2/2014 On-line Purchase $69.00