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A Customer Purchased a $200 Item at Best Bike Shop

Question 5

Multiple Choice

A customer purchased a $200 item at Best Bike Shop, paying with a credit card (VISA) . The merchant is charged a 2% fee by the credit card company. When recording this sale, the merchant would do which of the following?


A) Debit trade receivables for $200.
B) Credit sales revenue for $200.
C) Credit sales revenue for $196.
D) Credit unearned sales revenue for $200.

Correct Answer:

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