Consider these transactions: (Credit account titles are automatically indented when amount is entered. Do not indent manually.) (a)   Pearl Industries accepted a Visa card in payment of a $1,100 lunch bill. The bank charges a 4% fee. What entry should Pearl Industries make? (b)   Whispering Winds Corp. sold its accounts receivable of $64,900. What entry should Whispering Winds Corp. make, given a service charge of 4% on the amount of receivables sold?

Question

Consider these transactions: (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

(a)
  Pearl Industries accepted a Visa card in payment of a $1,100 lunch bill. The bank charges a 4% fee. What entry should Pearl Industries make?
(b)
  Whispering Winds Corp. sold its accounts receivable of $64,900. What entry should Whispering Winds Corp. make, given a service charge of 4% on the amount of receivables sold?

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