Exercise $9-2$

Accounting for credit card sales

Cl

Levine Company uses the perpetual inventory system. Prepare journal entries to record the following credit card transactions of Levine Company. Apr. $8$ Sold merchandise for $$8,400($that had cost $$6,000)$ and accepted the customer's Suntrust Bank Card. Suntrust charges a $4\%$ fee.

$12$ Sold merchandise for $$5,600($that had cost $$3,500)$ and accepted the customer's Continental Card. Continental charges a $2\mathrm{.}5\%$ fee.