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On March 1, 2010 Joe Miles purchased a suit at Calvin's Fine Apparel Store. The suit cost $250 and Joe used his Calvin credit card.
On March 1, 2010 Joe Miles purchased a suit at Calvin's Fine Apparel Store. The suit cost $250 and Joe used his Calvin credit card. Calvin charges 2% per month interest if payment on credit charges is not made within 30 days. On April 30, 2010, Joes had not yet made his payment. What entry should Calvin make on April 30th? Accounts Receivable 5 Interest Revenue 5 Bad Debts Expense 245 Interest Expense 5 Accounts Receivable 250 Accounts Receivable 255 Interest Revenue 5 Sales 250 Uncollectible Account 250 Accounts Receivable 250
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