Question

On march 4, micro sales makes $4,850 in sales on bank credit cards which charge a 2.5% service charge and deposits the funds into micro sales' bank accounts at the end of the business day. required: journalize the sales and recognition of expense. refer to the chart of accounts for exact wording of account titles. round your answers to two decimal places.

Answer 1

When the sales is made, you have to journalize the following:

• Dr Accounts receivable 4,728.75
• Dr Credit Card expenses 121.25
• Cr Sales revenue 4,850

When the credit card bank transfers you the money, you must journalize the following:

• Dr Cash 4,728.75
• Cr Accounts receivable 4,728.75