Brinker accepts all major bank credit cards, including First Savings Bank's, which assesses a 2.5% charge on sales for using its card. On May 26, Brinker had $4,800 in First Savings Bank Card credit sales. What entry should Brinker make on May 26 to record the deposit?
A) Debit Accounts Receivable $4,800; credit Sales $4,800.
B) Debit Cash $4,680; debit Credit Card Expense $120; credit Sales $4,800.
C) Debit Cash $4,800; credit Sales $4,800.
D) Debit Cash $4,920; credit Credit Card Expense $120; credit Sales $4,800.
E) Debit Accounts Receivable $4,680; debit Credit Card Expense $120; credit Sales $4,800.Cash received: $4,800 - $120 = $4,680
Correct Answer:
Verified
Q37: Lemming makes an $18,750,120-day,8% cash loan to
Q42: Valley Spa purchased $7,800 in plumbing components
Q43: Uniform Supply accepted a $4,800,90-day,10% note from
Q45: Which of the following is not true
Q47: Giorgio Italian Market bought $4,000 worth of
Q60: Jax Recording Studio purchased $7,800 in electronic
Q80: On November 1,Orpheum Company accepted a $10,000,90-day,8%
Q82: Uniform Supply accepted a $4,800, 90-day, 10%
Q90: Jervis accepts all major bank credit cards,
Q98: Failure by a promissory note's maker to
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents