Levine Company uses the perpetual inventory system and allows customers to use two credit cards in charging purchases. With the Suntrust Bank Card, a 4% service charge for credit card sales is assessed. The second credit card that Levine accepts is the Continental Card. Continental assesses a 2.5% charge on sales for using its card. Apr. 8 Sold merchandise for $8,400 (that had cost $6,000) and accepted the customer's Suntrust Bank Card. 12 Sold merchandise for $5,600 (that had cost $3,500) and accepted the customer's Continental Card. Prepare journal entries to record the above selected credit card transactions of Levine Company. View journal entry worksheet View transaction list No Date General Journal Debit Credit Apr 08 Cash Credt card expense Sales 2 Apr 08 Cost of goods sold Merchandise inventory Apr 12 Cash Credit card expense Sales Apr 12 Cost of goods sold Merchandise inventory
Levine Company uses the perpetual inventory system and allows customers to use two credit cards in charging purchases. With the Suntrust Bank Card, a 4% service charge for credit card sales is assessed. The second credit card that Levine accepts is the Continental Card. Continental assesses a 2.5% charge on sales for using its card. Apr. 8 Sold merchandise for $8,400 (that had cost $6,000) and accepted the customer's Suntrust Bank Card. 12 Sold merchandise for $5,600 (that had cost $3,500) and accepted the customer's Continental Card. Prepare journal entries to record the above selected credit card transactions of Levine Company. View journal entry worksheet View transaction list No Date General Journal Debit Credit Apr 08 Cash Credt card expense Sales 2 Apr 08 Cost of goods sold Merchandise inventory Apr 12 Cash Credit card expense Sales Apr 12 Cost of goods sold Merchandise inventory
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter9: Sales And Purchases
Section: Chapter Questions
Problem 8E: Toby Company had the following sales transactions for March: Mar. 6Sold merchandise on account to...
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