The following selected transactions relate to Dylan Company. Instructions Prepare the journal entries for the transactions. Mar.

The following selected transactions relate to Dylan Company.

Instructions Prepare the journal entries for the transactions.

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Mar. 1 11 12 13 15 Apr. 11 13 May 10 June 30 Sold $20,000 of merchandise to Potter Company, terms 2/10, n/30. Received payment in full from Potter Company for balance due. Accepted Juno Company's $20,000, 6-month, 12% note for balance due on existing accounts receivable. Made Dylan Company credit card sales for $13,200. Made Visa credit card sales totaling $6,700. A 3% service fee is charged by Visa. Sold accounts receivable of $8,000 to Harcot Factor. Harcot Factor assesses a service charge of 2% of the amount of receivables sold. Received collections of $8,200 on Dylan Company credit card sales and added finance charges of 1.5% to the remaining balances. Wrote off as uncollectible $16,000 of accounts receivable. Dylan uses the per- centage-of-sales basis to estimate bad debts. Credit sales recorded during the first 6 months total $2,000,000. The bad debt percentage is 1% of credit sales. At June 30, the balance in the allowance account is $3,500. July 16 One of the accounts receivable written off in May was from J. Simon, who pays the amount due, $4,000, in full.