Credit Card Sales Ruth Annes Fabrics accepts cash, personal checks, and two credit cards when customers buy merchandise. With the Great American Bank Card, Ruth Annes Fabrics receives an immediate deposit in its checking account when credit card sales slips are deposited at the bank. The bank charges a three percent fee. With the United Merchants Card, Ruth Annes Fabrics mails the credit card sales slips to United Merchants regional processing center each day. United Merchants accumulates these slips for three days and then mails a check to Ruth Annes Fabrics, after deducting a three percent fee. Prepare journal entries to record the following:

Round to the nearest dollar.

a.	Sales for March 15 were as follows:
	Cash and checks	$950
	Great American Bank Card (Deposited at the end of the day)	1,200
	United Merchants Card (Mailed at the end of the day)	800
		$2,950
b.	Received a check for $1,950 from United Merchants on March 20.

a.

General Journal
Date	Description	Debit	Credit
Mar.15	Cash	______	______
	Answer CashAccounts Receivable - United Merchants Credit Card Fee ExpenseSales Revenue	______	______
	Credit Card Fee Expense	______	______
	Answer CashAccounts Receivable - United Merchants Credit Card Fee ExpenseSales Revenue	______	_____
	To record cash and credit card sales.

b.

General Journal
Date	Description	Debit	Credit
Mar.20	Answer: CashAccounts Receivable - United Merchants Credit Card Fee ExpenseSales Revenue	______	______
	Answer: CashAccounts Receivable - United Merchants Credit Card Fee ExpenseSales Revenue	______	______
	To record receipt of check from United Merchants.