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pply Club, Inc., sells a variety of paper products, office supplies, and other products used by businesses and individual consumers. uring July 2018 it started a loyalty program through which qualifying customers can accumulate points and redeem those points for scounts on future purchases Redemption of a loyalty point reduces the price of one dollar of future purchases by 20% (equal to 20 ents). Customers do not earn additional loyalty points for purchases on which loyalty points are redeemed. Based on past experience, upply Club estimates a 60% probability that any point issued will be redeemed for the discount During July 2018, the company ecords $135,000 of revenue and awards 125,000 loyalty points. The aggregate stand-alone selling price of the purchased products is 135,000. Eighty percent of sales were cash sales, and the remainder were credit sales. Required: 1. & 2. Prepare Supply Club's journal entry to record July and August sales. During August, customers redeem loyalty points on $60,000 of merchandise. Seventy-five percent of those sales were for cash, and the remainder were credit sales. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the July sales. Note: Enter debits before credits Debit General Journal ransaction View general journal Clear entry Record entry