Textbooks.com accepts VISA for payments of purchases made by students.The credit card drafts are deposited directly in a bank account.VISA charges a 2% collection fee.Credit card drafts totaling $12,000 are deposited during September.The effect on the accounting equation to record the sales and deposits will include
A) An increase in Cash for $12,000
B) An increase to Sales for $11,760
C) An increase to Accounts Receivable for $11,760
D) An increase in Collection Fee Expense for $240

Question

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The Answer of Textbooks.com accepts VISA for payments of purchases made by students.The credit card drafts are deposited directly in a bank account.VISA charges a 2% collection fee.Credit card drafts totaling $12,000 are deposited during September.The effect on the accounting equation to record the sales and deposits will include
A) An increase in Cash for $12,000
B) An increase to Sales for $11,760
C) An increase to Accounts Receivable for $11,760
D) An increase in Collection Fee Expense for $240

TextbooksCom Accepts VISA for Payments of Purchases Made by Students