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7 P Q 1 Mayfair Co. allows select customers to make purchases on credit. Its other customers can use either of two credit cards: Zisa
7 P Q 1
Mayfair Co. allows select customers to make purchases on credit. Its other customers can use either of two credit cards: Zisa or Access. Zisa deducts a 5.0% service charge for sales on its credit card. Access deducts a 4.0% service charge for sales on its card. Mayfair completes the following transactions in June. June 4 Sold $600 of merchandise on credit (that had cost $240) to Natara Morris 5 Sold $6,800 of merchandise (that had cost $2,720) to customers who used their Zisa cards 6 Sold $6,026 of merchandise (that had cost $2,410) to customers who used their Access cards. 8 Sold $4,670 of merchandise (that had cost $1,868) to customers who used their Access cards 13 Wrote off the account of Abigail McKee against the Allowance for Doubtful Accounts. The $629 balance in McKee's account stemmed from a credit sale in October of last year 18 Received Morris's check in full payment for the purchase of June 4 Required Prepare journal entries to record the preceding transactions and events. (The company uses the perpetual inventory system.) (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)Step by Step Solution
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